Israel's PM Benjamin Netanyahu has urged the Palestinians to continue peace talks despite an end to Israel's ban on West Bank settlement-building.
In a statement moments after the end of the 10-month partial freeze, he asked Palestinian leader Mahmoud Abbas to continue seeking a "historic" deal.
Hours later, bulldozers were reported to have begun work in two settlements.
Mr Abbas warned on Sunday that peace talks would be a "waste of time" unless the freeze was extended.
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