An adviser to Hamas Prime Minister Ismail Haniya says the next Palestinian government will not recognise Israel but is instead prepared to back a 10-year truce with the Jewish state.
Hamas and Fatah, the party led by Mr Abbas, have agreed to set up a unity government based on a national reconciliation document drawn up in June, which implicitly recognises Israel.
However, Hamas leaders say the accord does not include recognition of Israel and Abbas froze negotiations before leaving for New York.
Israel rejected the Hamas statement and insisted that any Palestinian government recognise Israel, renounce violence and abide by past agreements signed by the Palestinian Authority.
"The national unity government does not recognise Israel in its political program. The government and the Hamas movement will be against recognising Israel," said Ahmed Yussef, Haniya's political adviser.
"Our position to solve the crisis is a 10-year truce which will be good for stability and prosperity," he added, calling on the
Israelis to withdraw from Palestinian territory occupied in the 1967 Middle East war.
Palestinian President Mahmud Abbas yesterday told the UN General Assembly that any new Palestinian government will recognise Israel.
"I would like to reaffirm that any future Palestinian government will commit to all the agreements that the Palestine Liberation Organisation and the Palestinian Authority have committed to," he said in a speech.
Mr Abbas is expected to arrive in Gaza in the coming days to meet with the Hamas Prime Minister and finalise the national unity government.