Israel's Prime Minister, Ariel Sharon, has strongly defended his controversial Gaza pullout plan at the start of a vital debate in parliament.
Under the plan, all 8,000 Jewish settlers will next year leave the territory, which was captured by Israel during the 1967 Arab-Israeli war.
The prime minister has told MPs that he is convinced a withdrawal of all Jewish settlers and troops from the Gaza Strip would strengthen Israel.
The controversy has left Mr Sharon's right-wing Likud party bitterly divided with commentators predicting that up to 18 of its 40 MPs could vote against the government.
However, the plan is expected to receive parliamentary approval with the backing of the left-wing opposition parties.
MPs will not vote on the plan until tomorrow night.
Permission for Arafat to leave compound
In another development, Israel is reported to be sticking to its refusal to guarantee Yasser Arafat returns to the West Bank if the Palestinian leader leaves his headquarters in the city of Ramallah.
An Israeli political source was speaking after Israel television reported that Defence Minister Shaul Mofaz had given Mr Arafat permission to leave Ramallah for medical treatment.
Doctors said Mr Arafat is recuperating from the flu.
Israeli offensive in Gaza
Earlier, a major offensive by Israeli troops in the Khan Younis refugee camp in the southern Gaza Strip left at least 16 Palestinians dead and dozens injured.
The operation began late yesterday with a series of air strikes.
Witnesses said missiles were launched from an unmanned Israeli spy plane and hit a Palestinian security post and other targets.
The Israeli army said it is trying to stop militants in the camp carrying out mortar attacks on nearby Jewish settlements.