You asking the question, who cant make peace:? implies you know nothing of the two US endorsed peace offers made by the Arab League. The first was introduced by then Saudi Crown Prince Abdullah at the Arab League Summit in March 2002, and was adopted. It was reaffirmed by the Arab League at its Riyadh Summit in March 2007. It calls for comprehensive peace and full normal relations between Israel and all 22 Arab states, which includes Palestine, in return for Israel?s withdrawal from all the Arab territories it occupied in June 1967 war, a just and agreed upon solution to the Palestinian refugee question and the establishment of an independent, sovereign Palestinian state with East Jerusalem as its capital. The offer was later adopted by the Organization of the Islamic Conference (O.I.C) in Kuala Lumpur, Malaysia in April 2002. The O.I.C is an intra-governmental organization composed of the 57 states that comprise the Muslim world. Israel didn't respond. The answer is Israel.
President Rivlin meets with Pope Francis at the Vatican (Haaretz)
from the article: Sarkozy 'condemns Israeli construction in East Jerusalem'