ME peace more distant than ever: Assad

Speaking before a dinner meeting with visiting Spanish King Juan Carlos and Queen Sofia on Monday, Assad stressed that his country sought a "just and global peace" in the region based on UN resolutions stipulating Israeli withdrawal from the occupied territories.

"Peace is further away than ever," he said.

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"Rather than advancing along the path of peace, the Israeli government has intensified its policy of repression against the Palestinian people by bombarding houses and assassinating the citizens," he said.

Assad denounced Israel's construction of a security wall around the West Bank which he said "annexes Palestinian territories".

he also expressed the hope for "stability and unity" in neighbouring Iraq.

"The Iraqis must choose their own government and the UN should play an essential role to help them overcome the destruction caused by the war", waged there by US-led forces, he added.

Since the fall of the regime of Saddam Hussein, Washington has been pressuring Syria to avoid getting involved in the situation in Iraq.

US-Syrian relations are at a low. Last week the US House of Representatives voted for economic and diplomatic sanctions against Damascus, accusing it of sponsoring terrorism.

Assad also said he hoped that Syria could seal an association accord with the European Union "in the near future".

King Juan Carlos and Queen Sofia began their first state visit to Syria on Sunday.