Deposed Palestinian prime minister Ismail Haniyeh of Hamas on Sunday rejected a summit set to take place Monday in Egypt with Israeli and Arab leaders, saying only resistance would produce results for his people.

Speaking in Gaza, which his movement overran earlier this month, defeating the forces allied with Palestinian Authority Chairman Mahmoud Abbas of Fatah, Haniyeh said, "the Americans won't give anything. Israel won't give us anything. Our land, our nation will not come back to us except with steadfastness and resistance," a code word for attacks against Israel.

He called any hopes generated by the summit a mirage and illusions.

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On Monday, Abbas and Prime Minister Ehud Olmert are to join the president of Egypt and king of Jordan for a summit meeting meant to boost Abbas in his battle with Hamas.

Abbas fired the Hamas-Fatah unity government after the Islamists took control of Gaza, replacing it with a cabinet made up of moderates and experts.

Haniyeh said Abbas' actions have resulted in the separation of Hamas-ruled Gaza from a Fatah-dominated West Bank. Rather than weaken Hamas, Haniyeh said, "experience proves that the more pressure on Hamas and the greater the siege will only increase Hamas' strength".

Commenting on Israel's decision to free up hundreds of millions of tax revenues it collected for the Palestinians but refused to hand over as long as Hamas was in power, Haniyeh said some of it must be directed to Gaza.

"The money [must] stay away from political extortion and must reach all Palestinian people without discrimination or differentiation," he said.

Haniyeh called Israel's release of the tax money "financial bribery" and "political blackmail" aimed at "deepening the crisis and divisions" between Fatah and Hamas.

"It is our right and our money," Haniyeh said. "But this money ... should reach all the Palestinian people."

He called for dialogue between the factions. "There is no alternative to dialogue on the basis of ... no separation of the homeland and of our people".

The Hamas leader tried to draw attention away from the Fatah-Hamas conflict, saying repeatedly that the real problem facing the Palestinians is Israel's occupation of the West Bank.

"Our battle is with the occupation that has been here for more than 60 years," he said.

Underlining the Hamas rejection of the existence of Israel, Haniyeh addressed his remarks to Palestinians in the West Bank, Gaza and "the 1948 lands," a reference to Israel, created in that year.