A Conference for Confidence-Building between Israelis and Palestinians was held here on Wednesday to discuss ways for an attempt building a cooperative bilateral relationship between the two sides.

Israeli Vice Premier Shimon Peres and Palestine Liberation Organization's Negotiations Affairs Department head Saeb Erekat led their delegations to participate the two-day conference. Jordanian King Abdullah's special adviser Farouk Kasrawi also attended the meeting, according to Kyodo News.

Analysts here said that in order to improve the Palestinian economic situation and build up closer economic cooperation in the Middle East are crucial for the acceleration of the peace process.

At the opening ceremony, Tatsuo Arima, Japanese special envoy for the Middle East peace process, described the revitalization of the Palestinian economy as indispensable for creating an atmosphere conducive to the resumption of the peace talks.

The conference is the third of its kind. Japan hosted the two former ones in Tokyo respectively in May 2003 and July 2004.

(Xinhua News Agency March 14, 2007)