This update summarizes bilateral, multilateral, regional, and international events affecting the Palestinians and the future of the peace process, and covers the quarter beginning on 16 May and ending on 15 August 2016. The surge of unrest and resistance that began in Jerusalem in 9/2015 continued to dissipate this quarter as the Israeli government strengthened its crackdown on the occupied Palestinian territories, Israeli left-wing activism, and the Palestinian minority in Israel. Israeli prime minister Benjamin Netanyahu rejected an international push towards peace talks with the Palestinians, and shifted his ruling coalition further to the right. Despite Israel's opposition, the French peace initiative advanced with Palestinian backing and Egypt lent its weight to international peace efforts, but failed to break the Palestinian-Israeli diplomatic impasse. Internally, the Palestinians prepared for municipal elections on 10/8. In regional developments, Israel and Turkey reached a formal reconciliation agreement, paving the way for a return to full diplomatic relations.

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