TEL AVIV, Sept 11: Israel’s cabinet agreed in principle on Thursday that Palestinian President Yasser Arafat should be exiled, but opted against any move to expel him immediately.

One source said the cabinet had decided to ask the army to prepare a plan for Mr Arafat’s exile from the region, but decided against swift expulsion because of US opposition.

In Washington, a State Department spokesman said the expulsion of Mr Arafat would be unhelpful because it would give him a new stage on which to perform.

“We don’t believe that dealing with Mr Arafat ... through expulsion is going to be helpful at all with the situation,” Richard Boucher said at a briefing.

A senior Palestinian official denounced the decision, saying exiling Yasser Arafat would destabilize the Middle East.

“Harming Arafat or expelling him will destabilize the region and will only bring disaster to the Israeli people,” the official said.

French President Jacques Chirac said it would be a serious mistake to sideline Yasser Arafat.

“Yasser Arafat is the legitimate authority” of the Palestinian people, Mr Chirac said during a news conference after a meeting with Spanish Prime Minister Jose Maria Aznar near the Spanish city of Toledo.

Israel’s security cabinet, which groups top ministers and security officials under Prime Minister Ariel Sharon, met on Thursday to discuss how to respond to two Palestinian suicide bombings that killed 13 Israelis on Tuesday.

“The security cabinet agreed in principle to expel Arafat but not to do anything immediately. They asked the army to prepare a plan for expelling him,” one source close to the government said.

“This means they decided in principle that he can be expelled, but they will not do anything at the moment because of US opposition.”

Israel and the United States accuse the Palestinian leader of fomenting violence. He denies the charge, but Israel has confined him to his West Bank headquarters for most of the last 21 months.

CHIRAC: The French president said at the press conference that “I think, and I believe the European Union also considers that it would be a serious mistake to try to eliminate him (Arafat) from the political arena”.

Jose Maria Aznar, the Spanish premier, regretted that “the situation is getting worse and worse” in the Middle East. “We must stick to the roadmap,” he said.

“Improving security conditions (in the Middle East) is absolutely vital,” said Mr Aznar.

“Acts of terrorism are unacceptable, but I think that acts of terrorism cannot be combated through a policy of selective assassinations which does not help matters,” he added, an apparent reference to an Israeli newspaper’s editorial calling upon the Israeli government to assassinate Mr Arafat.

Mr Chirac, who said he absolutely shared Mr Aznar’s sentiments, said the roadmap had to be pursued.

“In spite of the difficulties we must get the roadmap moving and set up as a matter of urgency the international conference which it foresees,” said the French leader.

ARAFAT STEADFAST: Palestinian leader Yasser Arafat said after the announcement that he would not be “kicked out” as the Israeli government’s security cabinet approved his expulsion in principle.

“No one can kick me out,” Arafat told reporters at his Ramallah headquarters where he has been confined by the Israeli army for the last 20 months.

“They can kill me kill me with bombs but I will not leave.”

In Ramallah, Yasser Arafat was hailed by hundreds of supporters as he ventured out of his headquarters here after the Israeli government had given the green light to his expulsion, an AFP correspondent witnessed.

The veteran Palestinian leader was carried on a chair by his bodyguards, blew kisses and gave the victory sign after up to 1,000 supporters entered the Muqataa complex.

Security guards had opened the iron gates of the complex which are normally closed round the clock.

“With our blood and our souls we will support you, Abu Ammar,” the crowd changed, using Arafat’s nom de guerre.

Some of the crowd were burning tyres while others carried portraits of the 74-year-old symbol of Palestinian resistance.

Hundreds of people also took to the streets in central Gaza City to demonstrate their support for Arafat after Islamic and nationalist factions had urged them by loudspeaker to gather.

In the West Bank town of Tulkarem, a crowd of up to 2,000 people showed their support for Arafat.

Among the protesters in Tulkarem were scores of masked gunmen, some of whom fired shots in the air while others chanted their support for Arafat.

Palestinian prime minister-designate Ahmed Qorei threatened to call off efforts to form a new government after Israel gave the green light for Yasser Arafat’s expulsion, he said in a statement.—AFP / Reuters