Meanwhile, US envoy George Mitchell met Lebanese President Michel Sleiman as part of Washington's target of forging a comprehensive Middle East peace.

"The prime minister has not changed his position on this issue, there is no question of extending the moratorium," a senior Israeli government official told AFP, asking not to be named.

The 10-month measure to curb construction of settler homes in the Israeli-occupied West Bank concludes at the end of this month.

The United Nations made a new call on September 17 for an extension of the moratorium, highlighting the "renewed hope" for Middle East peace.

"We reaffirm the UN's position that settlements are illegal under international law," Robert Serry, the top UN Middle East peace envoy, told a Security Council meeting.

Israel's decision not to renew the moratorium, which does not cover annexed east Jerusalem, was taken this week by the Forum of Seven top cabinet ministers, according to the daily Israel Hayom, which is close to the government.

AFP