"There can be a ceasefire between the two sides, which will befollowed by an exchange of prisoners," Mottaki told reporters after a meeting with Syrian Vice President Farouk al-Shara.

Mottaki also called for "a reasonable and fair" way to resolvethe current crisis.

Violence broke out on July 12 when the Lebanese Shiite militant group Hizbollah kidnapped two Israeli soldiers and killed eightduring cross-border clashes.

In response, Israel launched a massive offensive in Lebanonwhile Hizbollah retaliated with rocket salvos targeting Israelicities.

Hizbollah has demanded Israel release Palestinian and Arabprisoners held in Israeli jails in return for the two soldiers,but Israel has so far rejected it.

Lebanese Prime Minister Fouad Siniora on Saturday urged the United Nations to mediate a ceasefire with Israel.

On Sunday, Italian Prime Minister Roman Prodi conveyed toLebanon Israel's two conditions for halting military moves -- the release of the two captured Israel soldiers and Hizbollah's withdrawal from the border area.