UNITED NATIONS Nov 16: United Nations Special co-ordinator for Middle East, Terje Roed-Larsen, said on Monday that the prospects for a revived Middle-East peace were better than ever before in the backdrop of Israeli Palestinian cooperation following the death of Palestinian President Yasser Arafat.

"Now that he has gone, Israelis and Palestinians, and friends of both peoples throughout the world, must make even greater efforts to bring about the peaceful realization of the Palestinian right to self-determination," Mr Roed-Larsen told the UN Council in his final briefing, as Special Coordinator for the Middle East Peace Process, a position he assumed in 1999.

Recent statements by US President George W. Bush, British Prime Minister Tony Blair and Israeli Prime Minister Ariel Sharon have also sparked optimism that a peaceful resolution of the crisis was now possible, observed Mr Roed-Larsen.

He hailed the Palestinian leadership for taking "the first firm steps toward instituting a smooth transition of power" and for preventing internal unrest.

"The extent and success of coordination in recent days is reminiscent of earlier, happier days, and might herald a new beginning - a new beginning that would come not because of President Arafat's passing, but in spite of the very difficult situation," he said.

Mr. Roed-Larsen called for the Palestinians to organize and conduct free and fair elections for the presidency within 60 days and to undertake "visible, sustained, targeted and effective action on the ground to halt violence and terrorist activity."