Palestinian Prime Minister Salam Fayyad said on Saturday that the foundation for peace and stability in the Middle East remains "the establishment of a Palestinian state on all territories occupied in 1967, chief among them East Jerusalem."

Fayyad was speaking at the "National Conference for the Strengthening of Popular Activity," which convened on Saturday in Ramallah. The event is being attended by senior Palestinian Authority officials.

The conference comes in the wake of a series of declarations made by Fatah officials, according to which the movement has taken a strategic decision to launch a third intifada.

Fatah is calling on Palestinians to stage wide-scale, grassroots demonstrations in the West Bank against settlements and the separation fence, though the party insists that Palestinians are not to undertake armed struggle.

"We strenuously reject all the solutions being proposed by Israel's leaders, [namely] solutions involving interim arrangements," Fayyad said Saturday in Ramallah. "We have no intention of continuing with the formula of interim arrangements and of accepting a state of swaths of territory that have no territorial contiguity."

"We learned the lessons of the first popular intifada and its results," Fayyad said. "We will act to reach a comprehensive agreement on the basis of resolutions by the international community and we will reject every attempt to once again enter this whirlwind of negotiations without results and long-term interim arrangements."