Israeli Prime Minister Benjamin Netanyahu will deliver a major policy speech on Sunday that officials say will outline his vision of how to advance the peace process with the Palestinians and the Arab world, Reuters reported.
Israel faces pressure from its main ally, the United States, to end settlement-building and embrace Palestinian statehood.
"The prime minister intends to articulate a clear view as to how he wants to move forward in the peace process with the Palestinians," said Netanyahu's spokesman Mark Regev.
"His vision is to move forward toward a historic reconciliation, and it is clear that all parties must play a role if this process is to succeed," Regev said, referring to Arab countries in the region.
Netanyahu is at odds with U.S. President Barack Obama over Washington's demand to halt Israeli settlement expansion in the occupied West Bank and has not endorsed the creation of a Palestinian state, a cornerstone of U.S. Middle East policy.
Netanyahu's three-month-old government has said construction in existing Jewish settlements would continue to accommodate growing families. Obama has called for a total freeze.
The Israeli leader will also discuss Iran, officials said, whose nuclear aspirations the Jewish state regards as an existential threat. Newly re-elected Iranian President Mahmoud Ahmadinejad has called for Israel to be wiped off the map.
Iran denies seeking nuclear weapons and has so far shrugged off Western pressure to freeze its nuclear programme.
Netanyahu is bound by past Israeli agreements, which include a 2003 peace "road map" that sets out conditions to establish a Palestinian state, and has called for the immediate resumption of stalled peace talks.
But he has proposed shifting focus in talks with the Palestinians from tough territorial issues to a "triple-track" that improves economic, security and political relations.
Palestinian President Mahmoud Abbas has said negotiations would be useless unless Netanyahu committed to statehood and a settlement freeze.
Ofir Akonis, a lawmaker in Netanyahu's Likud party and a former aide, said the prime minister will likely call on Abbas to resume immediate negotiations and speak in depth on Iran.
"I don't think that Netanyahu will use the expression 'two states for two people'," Akonis said on Israel Radio, referring to the so-called two-state solution to the decades-old Israeli-Palestinian conflict the West is pushing for.
Netanyahu briefed U.S. envoy George Mitchell and other top diplomats this week on his planned speech. But the steps which Netanyahu outlined to Mitchell were "not adequate" to satisfy Washington, a U.S. official told a meeting of the so-called Quartet of Middle East mediators.
Netanyahu met Israeli President Shimon Peres late on Saturday to discuss the drafting of the speech.