Israeli President Shimon Peres said the recent election of moderate cleric Hassan Rohani to the presidency in Iran indicated that sanctions against Tehran were having an effect.

"When you have terrorists, they are tearing to pieces the nations, because you have so many groups. Even in Gaza you have four groups of terrorists, five groups. They are killing Gaza, they are killing Lebanon, they are killing Syria, they are killing Iraq. Wherever they are around, they are endangering the Arab identity, their nationalities," he said.

"I think that the one that can really prevent Iran from becoming nuclear and fanatic, a combination of mass destruction weapon and unreasonable behaviour, is the United States of America, headed by Obama that has built a coalition with the Europeans, who is trying to convince also the Russians, who says I shall not start a shooting war. And you know what, maybe, I tend to believe it is, that the vote in Iran represents already the effect of the economic sanctions," he said.

"In the negotiations that took place until now, there were offered two options: one, that the settlers that wants to come back should come back and they will be compensated. And there will be three blocs for the ones that wants to remain. That was actually introduced by President Clinton and it was on the agenda. What will be in the future we shall see in the negotiations," he said.