Israeli President Shimon Peres (R) shakes hands with US Secretary of State Hillary Clinton after a joint press conference in Jerusalem.[Menahem Kahana/CCTV/AFP]

Clinton said the US would push forward with its efforts to forge a peace deal. She said it should include the creation of an independent Palestinian state alongside Israel.

But Netanyahu opposes Palestinian statehood and has been critical of peace talks.

Israel's policy on settlement construction in the West Bank would also be a key issue in any solution.

An Israeli settlement watchdog group, Peace Now, said the government had preliminary plans to build more than 73 thousand new homes in West Bank settlements.

Yariv Oppenheimer, Peace Now, said, "We are hoping that Hillary Clinton will make it very clear for the Israeli government that regarding the settlements activity, the answer is 'no'."

Netanyahu has been a staunch supporter of settlements. Now, international pressure may force him to change his policy.

(CCTV March 4, 2009)