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Report: Merkel makes Olmert give way

BERLIN, April 9 (UPI) -- Israeli Prime Minister Ehud Olmert has agreed to concede to the Palestinians in the ongoing effort to find peace, a news magazine said.

During talks with German Chancellor Angela Merkel, Olmert agreed to have the biweekly talks with the Palestinians supervised by a European observer, German news magazine Der Spiegel said in its latest issue.

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Israel had on repeated occasions promised the Palestinians forms of relief in the dialogue, including the cutback of military controls; the agreements were often broken.

Merkel warned the Israeli and Palestinian authorities not to drag on for fruitless meetings without actual progress, which could lead to great "disappointments" on both sides.

"We can't have an endless amount of meetings and nothing happens," Merkel told the negotiating parties, Der Spiegel said.

Sources from Olmert's office told the magazine the progress was due to the very high standing Merkel enjoys with the Israeli government. "You are great, Angela," Olmert told the chancellor over dinner, according to the magazine.

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