The official, who required anonymity, said the proposed agreement outlines a gradual cessation of hostilities and the withdrawal of Israeli forces from the Gaza Strip, with the final deal also including a comprehensive prisoner-for-hostage exchange and a permanent end to the war between Hamas and Israel, Xinhua news agency reported.

Although some contentious points are still being negotiated, they are not expected to be a major obstacle to reaching a final agreement, added the official.

The source also expressed optimism that the agreement would be finalised before the end of the year, as long as Israel does not impose new conditions.

There is political will from all parties to reach a lasting resolution to the Gaza conflict, which has persisted for over 14 months, according to the official.

The ongoing negotiations, mediated by Egypt and Qatar with the participation of the US, are based on a plan introduced by the US in May to end the war, which began on October 7, 2023, after Hamas's attack on southern Israel that resulted in about 1,200 deaths.

Meanwhile, leaders of three Palestinian factions have agreed that a ceasefire agreement in the Gaza Strip is "closer than ever" if Israel stops setting new conditions, Hamas said on Saturday.

These remarks followed a meeting in Cairo on Friday among leaders from Hamas, the Palestinian Islamic Jihad, and the Popular Front for the Liberation of Palestine, according to a statement from Hamas.

The three factions reviewed the latest developments in ceasefire negotiations and the prisoner-for-hostage exchange deal, reaffirming their shared commitment to ending the "aggression" against the Palestinian people, which has persisted for over 14 months, said the statement.

It noted that the delegations also discussed the possibility of establishing a community support committee to manage post-war Gaza.

Courtesy Media Group: IANS