The prime minister's efforts to widen his coalition are leading to growing tension between the prime minister and his foreign minister.

Foreign Minister Avigdor Lieberman has said he will only agree to an expansion of the government, if construction in the settlements resumes in September, at the end of the one year freeze agreed by the government.  Labor leaders have said that unless Kadima joins the government by then, Labor may not continue in the government.

Opposition leader Tzippi Livni said she would be willing to join the governing coalition if it is accompanied by a change in the coalition structure. It is believed that Livni is interested in taking the foreign ministry position from Lieberman.

Lieberman will only accept inclusion of Kadima in a coalition if that party agrees to his peace formula, which involves combining population exchanges with territorial exchanges.

Lieberman and Netanyahu are currently unable to agree on a replacement for Israel's UN ambassador.  The current ambassador, Professor Gabriella Shalev, is leaving her post at the end of July.

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