Knesset panel to convene in early September to debate bill for early elections. Mordechai calls on Syria to resume talks. Left and right-wing Knesset members call on PA to erase clauses calling for Israel's destruction from its constitution. IDF soldier killed, four wounded in south Lebanon Hizb'Allah ambush. Islamist groups warn civilians to steer clear of Israeli and US facilities as some are targeted for attack.
Jordanian cabinet resigns over polluted drinking water scandal.
Two Arab prisoners escape from PA jail. PA arrests Islamic Jihad leader in Gaza for criticising Arafat in the press. Popular Palestinian politician Haider Abdel-Shafi castigates Arafat's plan to declare an independent state in May 1999. Ministerial committee approves construction of 2,300 homes and 2,500 holiday homes on the Golan Heights. Jewish Agency says Israel will not exploit Russian economic crisis to hasten immigration.