President Clinton has asked Albright to meet the Israeli Premier after envoy Dennis Ross returned from the region with "positive and useful ideas," White House spokesman Michael McCurry said.

"The belief is that there are some positive elements to explore in those discussions on Wednesday to see if we can make the breakthrough that we need to launch the permanent peace talks," State Department spokesman James Rubin said separately.

Netanyahu is scheduled to arrive here late on Wednesday for meetings in Washington and New York with Jewish groups and members of Congress who have been angered by the administration's tough stance with Israel.

On Monday, Clinton national security advisor Samuel Berger rejected criticism of the White House's approach, saying "there is no pressure on Israel.""It's for Israel to make decisions on its own security." But Berger also said that while Washington would strive to revive the Middle East peace process, the White House would not "water down" its initiatives.

"But the essence of diplomacy is trying to find creative solutions to difficult problems," Berger added.

Netanyahu has balked at a troop withdrawal from 13.1 per cent of the West Bank that Washington is demanding as one of the conditions for launching talks on a permanent peace settlement.

The Israeli troop withdrawal coupled with a renewed Palestinian effort to fight terrorism form the core of US proposals that Palestinian leader Yasser Arafat has accepted. The announcement of the Albright-Netanyahu meeting appeared to corroborate Israeli reports that a compromise formula on an Israeli troop withdrawal was under discussion.

According to Israeli reports, the compromise would provide for an immediate transfer of at least nine per cent of the territory to Palestinian control with the remainder tobe placed temporarily "in trust" with the US.

Onus of peace on world: Arafat

Palestinian Authority President Yasser Arafat has said that the next step in the peace process was the responsibility of the international community.

Speaking during a visit to Brussels, Arafat said: "The Oslo peace agreements are not just the responsibility of the two parties, but it is an international responsibility." US First Lady Hillary Clinton's comments on May 6 that she favoured a Palestinian state also drew approval from the Palestinian leader.

"We should bring our gratitude to the statement of the first lady, wife of President (Bill) Clinton, about a Palestinian state. It is a very important, very clear signal," he said.