Prime Minister Ehud Olmert's rivals jostled for Israel's leadership on Thursday after his decision to resign, but aides said he could still stay in office long enough to forge a statehood deal with the Palestinians.
Dogged by corruption scandals, Olmert thrust Israeli politics and Middle East peace talks into turmoil on Wednesday by announcing that he would step down after a September 17 vote within his centrist Kadima party to choose a new leader.
It could take months for his successor to cobble together a new coalition, leaving Olmert in the role of caretaker prime minister, possibly into next year.
Compounding the political uncertainty, right-wing opposition Likud leader Benjamin Netanyahu called on Thursday for parliamentary elections to be brought forward, which could lead to the formation of a government opposed to a peace deal.
An Israeli official close to Olmert, speaking on condition of anonymity, said Olmert would try to reach agreement with Palestinian President Mahmoud Abbas "during the time he has left", either in his current role or as caretaker leader.
But Israeli lawmakers and analysts doubt Olmert will have the political strength to make commitments, either in the final-status talks with Abbas or in Israel's Turkish-moderated negotiations with Syria.
"He has no legitimacy, not from the public, nor the Knesset, nor the government, to reach any understandings with the Palestinians or with Syria that would bind the government," said Communications Minister Ariel Attias of the ultra-Orthodox Shas party, a member of Olmert's governing coalition.
Professor Gadi Wolfsfeld of Hebrew University agreed: "Who is going to make a deal with him when they know he can't deliver? He is a lame duck."
Michael Oren, a historian at the Shalem Center in Jerusalem, said Olmert's political weakness could be an opportunity for the Palestinians and Syrians to "achieve their maximum demands" in the negotiations.
ABBAS PLEDGE
Speaking in Tunisia, Abbas pledged to work with Olmert and his successor despite the "turmoil" in Israel.
Four Kadima ministers, including Foreign Minister Tzipi Livni and Transport Minister Shaul Mofaz, have launched campaigns to replace Olmert in the September 17 vote.
Polls have shown Livni, Israel's chief negotiator with the Palestinians, ahead within Kadima.
But Netanyahu could try to thwart Kadima's plans to form the next government by mustering a majority in parliament, either to form his own coalition or to move up elections scheduled for 2010.
Opinion polls suggest Netanyahu, a leading critic of Olmert's peace moves, would win such a snap poll.
An Olmert confidant, Vice Premier Haim Ramon, said new elections were a "high" probability because he believed the next Kadima leader would find it difficult to form a new government.
Olmert could then remain caretaker prime minister for 100 days after he resigns, Israeli officials said.
Sources close to Livni said she has agreed to continue talks with Palestinian negotiators, but they described her as increasingly reluctant to seal a deal that could be used by Netanyahu's campaign against her.
Israeli sources said U.S. Secretary of State Condoleezza Rice was expected to visit Israel in mid-August for another round of trilateral talks aimed at showing the peace process remained on track.
Olmert has faced weeks of public pressure to step down over probes into suspicions he took bribes from a Jewish American businessman and made duplicate claims for travel expenses.
Police said the prime minister, who has denied any wrongdoing, would be questioned for a fourth time on Friday.
One day after Olmert announced he would step down, Israel's largest daily newspapers featured front-page photos of the prime minister walking away from the cameras after his announcement.
The banner headline in the biggest-selling Yedioth Ahronoth read: "The Right Step".
Rival daily Maariv declared: "Olmert's Era, the End".
(Agencies)
"This government has reached an end and it doesn't matter who heads Kadima. They are all partners in this government's total failure," Netanyahu said. "National responsibility requires a return to the people and new elections."
ELECTIONS PROBABLE?