Israel had repeatedly said it would stop the boats, calling the campaign a "provocation intended to delegitimise Israel".

BBC: Mairead Maguire

But if Mr Sharon and Mr Peres have agreed, at least for the time being, to stop trying to delegitimise Mr Arafat, and to maintain his credibility as a future negotiating partner, what hope is there of such negotiations taking place?

ECONOMIST: Israeli-Palestinian fighting