The Palestinians will never agree to such a formula of a peace deal with Israel that maintains Israeli military occupation of the entire West Bank. It's a complete non-starter. To recall: thousands of Israelis have been killed in conflict with Palestinians & not the UAE
Ironically, Netanyahu's critique of the land for peace formula is a jab at legendary Likud chairman Menachem Begin who was the first Israeli premier to withdraw from territory in exchange for a peace deal. Begin gave up the last inch of the Sinai for peace with Egypt
Even the UAE deal is not peace for peace. It's peace in exchange for Israel halting annexation of the West Bank and Netanyahu allowing the US sale of F-35 jets to Abu Dhabi or in other words peace so the UAE can fight wars better, just not against Israel.
There are no free lunches in international relations. The UAE would not take the significant risk of signing a peace deal in the face of considerable criticism across the Middle East just for a photo with an El Al plane. They want tangible items in return.
The UAE deal may have set up a precedent where the next Arab states to sign an agreement with Israel will insist on a tangible concession to the Palestinians (like suspending annexation) so they won't appear as totally selling out the Palestinians along with military help.
The UAE deal is a major accomplishment for Netanyahu, possibly his greatest achievement in nearly 15 years as premier. Definitely worth the cost of the F-35s/annexation. No need to fabricate about the deal as the Israeli public isn't stupid. It's just not a "peace for peace" deal
Netanyahu is partially right that the UAE deal will make peace with the Palestinians more likely because it shows Ramallah that time is not on their side and one key piece of leverage (normalization with the Arab world) is no longer in the cards.
But, it takes two to tango. And the Israeli leadership continues to show no willingness to make the necessary compromises to reach a deal (withdrawal of at least 90-95% of West Bank). And Netanyahu/Gantz faces no pressure to give up this land especially amid the domestic pressure
Unfortunately, it seems one of the only ways for the PA to gain leverage over Israel to make painful concessions given the favorable international environment for Netanyahu is violence (see Sinai/Lebanon withdrawals). The PA wanting peace is insufficient for Israel to withdraw
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