Palestinians Upbeat Over New Govt.

The Palestinians hope that the unity government will usher in an era of calm and economic prosperity

"We are so happy about the unity government because we don't want more fighting between Hamas and Fatah," Sana al-Masry, 40, a housewife from Khan Yunis in southern Gaza, told Agence France-Presse (AFP).

"What's important is that this government succeeds in ending the siege, providing jobs, opening our borders and paying its employees," she added.

The unity government saw light on Thursday after Hamas and Fatah agreed on the line-up of the new cabinet.

Fatah and Hamas signed an agreement to form the unity government on February 8, during two-day crisis talks in the Saudi holy city of Makkah, hoping to end factional fighting that killed more than 90 Palestinians since December.

"We are sick of the problems and the suffering we have endured for over a year," said poultry farmer Zuhair Abdullah, 52.

"The time has come to improve the situation for the people."

Palestinian dailies also reflected a prevailing mood of optimism over the unity government.

"The Palestinian people, all their leaders, factions and parties, have passed the stage of barbaric fighting and realized a historic and important national achievement," the Palestinian Al-Quds daily said on Friday.

It underscored this optimism in a cartoon that depicted the new unity government marching through cracks in a stone wall labeled "International Boycott."

The outgoing Hamas-led government, which took office in March last year, was boycotted by the European Union, the US and Israel.

The aid-freeze paralyzed the government and made it unable to pay hundreds of thousands of civil servants for as many months.

Mixed

"As we have said many times we are going to wait and see," said Solana.

The announcement of the Palestinian unity government has drawn cautious and optimistic reactions from the international community.

The United States said it would withhold judgment on the new government.

"We will wait until the government is actually in place and we have an understanding of what their platform will be before we make any final judgments about it," US State Department spokesman Sean McCormack said.

The EU sounded the same tone.

"As we have said many times we are going to wait and see. Fortunately we have to wait and see a little less time now," EU foreign policy chief Javier Solana said in Germany.

The EU and the other members of the so-called Mideast Quartet -- the United States, Russia and the United Nations -- have consistently said any new Palestinian government must recognize Israel, renounce violence and respect past agreements for lifting the siege.

Israel was quick to reject the new government.

"We will not recognize or deal with this government or with members of this government and we expect the international community to stand firm in their demand to adopt the three principles," government spokeswoman Miri Eisin told AFP.

Moscow, while welcoming the new government, expressed the hope that it would end the climate of uncertainty and chaos.

"We hope the government formed .. will become a factor that weighs towards the stabilization of the situation in the (Palestinian) territories, ending the disagreements and chaos," said foreign ministry spokesman Mikhail Kamynin.

But France seemed eager to expand relations with the Palestinians.

"The swearing-in of the new Palestinian government is likely to open a new page in relations between the international community and this government," French Foreign Minister Philippe Douste-Blazy said in a message to his new Palestinian counterpart Ziad Abu Amr, adding that he was ready to meet him.

The Arab League also hailed the new unity government.

"It's an important step towards ending political tensions, which will allow Palestinians to focus on their main cause: the creation of a Palestinian state with Jerusalem as its capital," Arab League Secretary General Amr Moussa said in a statement.

The new government and its political program will be presented to parliament on Saturday for approval.

Lawmakers are expected to give a near unanimous vote of confidence to the new government.

After Saturday's vote, incoming ministers will take the oath of office in Gaza City at 5 pm (1500 GMT).

Those West Bank appointees unable to travel to Gaza because of Israeli restrictions will be sworn in the following day in the West Bank.