The Palestinian presidential candidate, Mahmoud Abbas, has welcomed a conference planned for London early next year.
Mr Abbas, the favourite candidate in the race to succeed Yasser Arafat as Palestinian leader, said it would be a first step to achieving and consolidating the peace process.
Mahmoud Abbas is expected to win the Palestinian presidential election next month and was speaking after a meeting with British Prime Minister Tony Blair.
Mr Blair earlier said the conference would aim to promote the Palestinian economy, politics and security.
He met with his Israeli counterpart, Ariel Sharon, to discuss peace initiatives for the region.
Mr Blair said his planned London conference would help the Palestinians become a real negotiating partner for peace.
He welcomed Israel's plan to withdraw from the occupied Gaza Strip and part of the West Bank next year, saying that it could be a step towards an internationally backed 'road map' for a Palestinian state.
Mr Blair arrived in Tel Aviv last night following a visit to Iraq.