In an interview Wednesday with Haaretz newspaper, Defense Minister Ehud Barak outlined his idea of a comprehensive agreement with the Palestinian Authority. He said he would like to see Jerusalem neighborhoods with Jewish residents to be retained under Israeli control but Jerusalem neighborhoods with a majority of Arab residents would be ceded. Barak added "there will be a special regime in place along with agreed upon arrangements in the Old City, the Mount of Olives and the City of David."

In response to a question about the Tuesday's terrorist attack, Barak said "Looking at the situation in a level-headed way, there is no doubt that this is an attempt to harm the start of the peace talks."