Palestinian prime minister Salam Fayyad announced his resignation today, following a weeks- long dispute with president Mahmud Abbas.
The dispute between the two stemmed from mounting concerns over Fayyad's economic policies for the ruling party, Fatah.
A Palestinian official told the Associated Free Press that despite United States efforts for him to stay,
"Fayyad met Abbas for half an hour in the president's headquarters in Ramallah in the West Bank and officially handed him his written resignation."
Although the international community credits Fayyad with building a sound institutional framework for Abbas' Palestinian Authority, the rival Hamas movement said the resignation was a result of "divisions within Fatah", and not related to the stalled talks on reconciliation between the two movements to form a united government.