CAIRO: Palestinian President Mahmoud Abbas’ Fatah movement has struck an agreement with bitter rival Hamas on forming an interim government and fixing a date for a general election, officials said Wednesday.The surprise deal was brokered by Egypt and followed secret talks between the two sides, who fought a brief civil war in 2007 that left Hamas in control of the Gaza Strip and the Western-backed Abbas in charge of the West Bank.Forging Palestinian unity is regarded as crucial to reviving any prospect for an independent Palestinian state.”We have agreed to form a government composed of independent figures that would start preparing for presidential and parliamentary elections,” said Azzam Al-Ahmad, the head of Fatah’s negotiating team in Cairo. “Elections would be held in about eight months from now,” he added.Ordinary Palestinians have repeatedly urged their leaders to resolve their deep divisions, but analysts had long argued that the differences between the two sides on issues such as security and diplomacy were too wide to bridge.Mahmoud Al-Zahar, a senior Hamas leader who participated in the talks, said the agreement covered five points, including elections, forming an interim unity government and combining security forces.”We also discussed activating the Palestinian Legislative Council, the PLO (Palestine Liberation Organization) as well as forming a government consisting of nationalist figures to be agreed upon,” Al-Zahar told Al Jazeera television in an interview.He also said Hamas and Fatah agreed to free prisoners held by each side.Pro-democracy tumult across the Arab world is likely to have revitalized the reconciliation talks, with a new leadership in Egypt eager to stamp its authority on the region.”The intentions were more serious this time and have been coupled by the efforts of our Egyptian brothers,” said Taher Al-Nono, the spokesman of the Hamas government in Gaza. “Implementation will start following the official (signing) ceremony which could be within a week,” he added.Prime Minister Benjamin Netanyahu said Abbas could not hope to forge a peace deal with Israel if he pursued a reconciliation accord with Hamas. “The Palestinian Authority must choose either peace with Israel or peace with Hamas. There is no possibility for peace with both,” Netanyahu said.