The ruling Palestinian Islamic Resistance Movement (Hamas) was seeking to ease tensions over a power struggle with rival Fatah, Egypt's MENA news agency quoted Palestinian Foreign Minister Mahmoud Zahar as saying yesterday.

"There are discussions at the highest level between the two parties to deal with the current situation," said Zahar, who left the Egyptian capital on Sunday for Kuwait after a stopover.

"Egypt is playing a key role in support of the Palestinian cause, and an Egyptian delegation is currently exerting all efforts to help Hamas and Fatah to restore calm in the occupied territories," said Zahar, also a senior Hamas official.

Tensions were quickly rising between Hamas and Fatah after exiled Hamas Politburo Chief Khaled Meshaal made a controversial speech in the Syrian capital Damascus on Friday.

At a gathering to mark the second anniversary of an Israeli killing of Hamas spiritual leader Ahmed Yassin, Meshaal accused Palestinian leader Mahmoud Abbas and his Fatah movement of corruption and plotting to topple the Hamas-led cabinet.

Meshaal's statements triggered tensions in the Palestinian streets, which escalated to clashes between supporters of the two rival parties.

Meshaal, however, said on Saturday that his statements were misinterpreted.

Palestinian Minister of Labor Mohammed Al-Barghouthi told the Cairo-based Voice of the Arabs that dialogue was the only way to settle differences among the Palestinians.

"Fighting is a red line which should not be crossed as it only serves Israeli occupation," he said.