The Hamas-Fatah reconciliation deal is a key step toward reviving the Palestine-Israel peace talks, said Chinese Middle East envoy Wu Sike Wednesday.

In an exclusive interview with Xinhua, Wu said that against the backdrop of drastic changes in the Middle East, reconciliation of Palestinian fractions is conducive to consolidating their internal unity, coordinating their respective positions as well as formulating unified guidelines for their future actions.

On Wednesday, the Palestinian reconciliation agreement was signed in the Egyptian capital of Cairo, ending a four-year internal rift between two major rival factions of Hamas and Fatah.

"The reconciliation deal was signed as expected," said Wu, who was just back from his trip to the Middle East, "as Palestinian National Authority President Mahmoud Abbas told me earlier that to achieve internal reconciliation is the common aspiration of Palestinian people."

"The Islamic Hamas movement is an important Palestinian political force," said Wu. "Reconciliation with Hamas will allow different factions to negotiate a common undertaking and thus gradually advance Palestine-Israel peace talks."

On internal Palestinian divisions, Wu said that though they differ on how to solve the Palestine-Israel conflict, the political fractions are of one mind that it is their top priority to seek a reconciliation.

"I believe they will be able to overcome the current difficulties, bridge their differences and gradually promote their cause," he said.

Israeli Prime Minister Benjamin Netanyahu earlier called on Abbas to immediately annul the agreement with Hamas, saying the Palestinian president must choose between a "path of peace with Israel" or peace with the Islamist group which "aspires to destroy Israel."

Wu said that the Israeli side needs to adopt a positive and open attitude toward the reconciliation deal.

"Shutting the door to negotiations is not a solution," he said.

"The two sides should have faith in talks and negotiations," he said, adding that with their strenuous efforts and and goodwill contacts, they will surely find a solution.

On the prospect of Palestine-Israel peace talks, Wu said both sides hope for peace, which lays a foundation for the resumption of their peace talks.

"The two sides need to made necessary adjustments in accordance with the new situation and find a new starting point for their peace talks," said the Chinese envoy.

"Only when their conflicts are settled in a peaceful way could Israel and various parties in the Middle East enjoy true safety, and long-term peace and stability be realized in the region," he said.