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Mahmoud Abbas told an Israeli lawmaker that he could resign if there is no progress in talks on founding a Palestinian state.

Yossi Beilin of the left-wing Meretz party said Sunday that he had discussed peace talks with the Palestinian Authority president on the sidelines of the World Economic Forum in Egypt.

According to Beilin, Abbas said that if he and Israeli Prime Minister Ehud Olmert do not achieve their stated goal of a peace accord by January, when President Bush steps down, he could resign.

Abbas aides played down the report, saying Abbas remains committed to the negotiations but could weigh his options anew if he and Olmert fail to make significant progress.

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