GAZA CITY, 1 February 2007 — The ruling Hamas yesterday slammed a multimillion dollar US aid package to bolster security forces loyal to its rival Fatah, as the two Palestinian factions consolidated a two-day-old truce by releasing hostages.

“There is no doubt that this is part of American policy aimed at provoking an escalation and a civil war in the service of a Zionist plan,” said Ismail Radwan, a spokesman for Islamist movement Hamas, which heads the government.

“Each time the American administration sees that we have arrived, or are on the verge of arriving, at an agreement, it sends (US Secretary of State) Condoleezza Rice to poison the atmosphere or announces financial aid (to President Mahmoud Abbas) to maintain tensions among Palestinians,” he said.

US President George W. Bush has ordered the transfer of about $86 million in aid to strengthen security forces loyal to the moderate president and Fatah party leader, the White House announced on Tuesday. The aid was declared as a truce between Fatah and Hamas took effect in Gaza following the deadliest bout of inter-Palestinian violence in a year and a day after a Palestinian bomber killed three people in southern Israel.

The truce was largely holding for a second day yesterday, as the groups swapped hostages. Medics, however, said unknown gunmen shot and wounded a presidential guard officer, one day after a Hamas fighter was killed.

“Last night, we started to implement the agreement between Fatah and Hamas and the hostages on both sides have been exchanged,” said Radwan.

“Dozens of hostages have been released on both sides,” confirmed the Fatah spokesman in the Gaza Strip, Tawfiq Abu Khussa.

But while the Fatah spokesman said the general atmosphere had improved, he complained that an “executive force” controlled by Hamas was causing “tensions and not helping the restoration of confidence” between the groups.

The cease-fire was brokered amid increasing international pressure on the factions to resolve their differences and negotiate a power-sharing agreement after months of broken talks and collapsed cease-fires.

The US aid is part of a broader US push to revive peace negotiations between Abbas and Israel, with the four Middle East peace sponsors — the European Union, Russia, United Nations and United States — to meet in Washington tomorrow. US officials said the aid, which includes training, vehicles and uniforms, would theoretically help Abbas counter militant attacks against Israel such as Monday’s bombing in the popular Red Sea resort of Eilat.

“The idea is to build the legitimate security forces, to help provide law and order in Gaza and the West Bank, fight terror and to facilitate movement and access,” said National Security spokesman Gordon Johndroe.

The European Union and United States cut off aid to the Palestinians after Hamas routed long-dominant Fatah in polls last January, dominating Parliament and forming a government, consigning Fatah’s hold on power to the presidency.

Fatah and Hamas, which have very different political outlooks, have tried for months to form a national unity government in the hope of resuming Western aid payments and reversing an unprecedented economic crisis.

Hamas has steadfastly refused to accept Western conditions to renounce violence, recognize Israel or abide by past peace deals.

The political showdown turned violent after Abbas announced in December that he would call new elections in the hope of wresting control from Hamas.

Thirty-five people have been killed and around 100 wounded in the latest bout of internecine violence.

Meanwhile, the United States is considering expanding assistance beyond Abbas’ presidential guard to members of the largest force under his command, Western and Palestinian officials said.

Providing US funds to train elements of Abbas’ National Security Forces (NSF), in addition to the presidential guard, could increase US involvement in the violent power struggle between Fatah and Hamas.

Officials said members of the NSF would undergo a review process to ensure they are qualified and have no ties to fighter groups before undergoing the training.

The nearly 4,000-man presidential guard is far better armed and trained but tiny in comparison to the NSF, the closest thing the Palestinians have to an army.

— With input from agencies