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Arab states, as well as the Palestinians, should be allowed to develop nuclear weapons as long as Israel retains its nuclear program, Libyan leader Muammar Gadhafi said in a televised interview Sunday night.

"If the Israelis have the nuclear weapons and the nuclear capabilities, then it is the right of the Egyptians, the Syrians, the Saudis to have the same," the Libyan leader told the British Sky network.

Gadhafi also claimed that "even the Palestinians should have the same because their counterparts, or their opponents, have nuclear capabilities."

Referring to what he considered a "double standard" in the balance of powers in the Middle East, Gadhafi said that the only way to avoid a proliferation of nuclear arms in the region was to disarm Israel of its alleged nuclear program.

"If we don't want this situation, so we'll have to disarm the Israelis from their nuclear weapons and capabilities," Gadhafi told Sky.

Asked if he would advise Iranian President Mahmoud Ahmadinejad to relinquish his nuclear arms, as his country did in 2003, the Libyan leader said that "Iran, up to now, hasn't said it is manufacturing a nuclear weapon: Iran says it is enriching uranium."

However, Gadhafi added, if "Iran were to manufacture nuclear weapons, nuclear arms, then all of us, including us, will be against them. But Iran has not said so."

Commenting on recently improving ties with the U.K., the Lybian leader said the two countries "have economic relations, investment relations, British companies, banks and, indeed, investments over there in England."

"Let me say that economic relations were good even during the time of Lockerbie between our two countries. They were never affected."

Further on in the interview Colonel Gaddafi also voiced his disapproval with the Nobel Peace Prize awarded to U.S. President Obama earlier this month.

"It goes without saying he is an African and we are proud that we Africans, we on the African continent, Africa as a whole, presents someone who is an African to be President of the United States of America," he told Sky.

"But, as regards the Nobel Peace Prize, I do believe he deserves it, but to be given right now I think it is some sort of hypocrisy, sycophancy, and I think it is premature. It is not due yet."