As a compromise, key posts of finance, interior and foreign ministers have been awarded to leaders who are not from either Hamas or Fatah. Haniya said that the list of cabinet ministers ill be tables in front of the parliament for approval on Saturday.

Announcing the list to reporters, Haniya said, "We hope that this government will mark the start of a new era and enable us to turn the page". The key post of interior minister, the bone of contention between the two parties, was given to an independent leader Hani Kawasmi.

Meanwhile Israeli officials expressed skepticism over the unity government terming it as a step backwards instead of progress towards peace in the region. They added that the new government might not meet its demands, which includes the recognition of Israel and agree to past Israeli-Palestinian deals.

Stating that his country will not be recognizing the new government, Israeli Foreign Ministry spokesman Mark Regev added that he would be speaking to other countries to follow the same path.
   
"Unfortunately the new Palestinian government seems to have said no to the three benchmarks of the international community. Accordingly, Israel will not deal with this new government and we hope the international community will stand firmly by its own principles and refuse to deal with a government that says no to peace and no to reconciliation", Regev said.