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The first of two pacts, known as the Oslo accords, are signed between Israel and the Palestine Liberation Organization (PLO), setting out a peace process based on previous U.N. resolutions. (A follow-up accord was signed in 1995.) The agreements created the Palestinian Authority to oversee most administrative affairs in the West Bank and Gaza. The PLO is recognized by Israel and the United States as a negotiating partner. Left unresolved, however, are key issues such as Israeli settlements in the West Bank and the status of Jerusalem, which is viewed by the Palestinians as the capital of any future state.
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