(Recasts with U.S., Jordanian comment) By Arshad Mohammed and Alaa Shahine ASWAN, Egypt, March 24 (Reuters) - U.S. Secretary of State Condoleezza Rice on Saturday made the case to four Arab foreign ministers that a broader Arab-Israeli reconciliation would help promote peace between Israelis and Palestinians. Rice spoke to the foreign ministers of Egypt, Jordan, Saudi Arabia and the United Arab Emirates, all nations friendly to the United States, days ahead of an Arab summit in Riyadh that will reaffirm a 2002 Arab peace initiative. On Friday, Rice said she hoped the initiative, if revived, would be followed up by "active diplomacy" to explore its offer of Arab states making peace with Israel if it were to withdraw from Arab lands it occupied in the 1967 war. The Arab plan made little headway when first floated amid a violent Palestinian uprising against Israel and was rejected by Israel because of the demand it withdraw to the 1967 borders. But Israel and the United States have recently shown some interest in the peace plan and Rice told reporters the Arab governments could help by adding an element of active diplomacy. She did not make specific proposals. She also suggested Arab governments take steps toward conciliation with Israel before an Israeli-Palestinian peace agreement is complete. Their peace plan offers normal relations with Israel after Israel and the Palestinians make peace. "The secretary emphasised ... the importance of Arab-Israeli reconciliation as an element in (the) broadening of peace but also in helping to establish the track between the Israelis and the Palestinians," U.S. Assistant Secretary of State David Welch said after Rice's talks, which included a separate session with security chiefs from the four nations. 'VERY DIFFICULT SITUATION' Rice's four-day Middle East trip will include visits to Israel and the Palestinian territories, where she hopes to persuade both sides to agree on a set of issues to discuss, via the United States, that may lead to a dialogue on peace. Jordan's Foreign Minister Abdelelah al-Khatib welcomed the new U.S. interest in Israeli-Palestinian peace. "The situation in the region is very difficult and dealing with it depends largely on our ability to make progress in the Palestinian issue," he told reporters. "That is why we encourage this (U.S.) political movement and we hope it will lead to tangible results." There is concern among Arab officials that the Arab peace initiative went nowhere and they are weighing how it might be advanced, said a U.S. official who asked not to be identified. "I detect that there is a spirit there to reaffirm the Arab initiative," said the official, stressing it was up to the Arab League members to decide whether and how to follow up on it. "We'll have to see where they can take that." Arab League Secretary-General Amr Moussa said on Saturday Arab states had no intention of modifying their initiative to make it more palatable to Israel. On Sunday Rice will have talks with Egyptian President Hosni Mubarak at a meeting expected to touch on Egyptian domestic politics and constitutional changes which will go to a national referendum on Monday. Rice said on Friday the United States was concerned and disappointed by the constitutional changes, which human rights and Egyptian opposition groups have called a step away from freedom and democracy. Egyptian Foreign Minister Ahmed Aboul Gheit dismissed her criticism as unwarranted interference in Egyptian affairs. "Only the Egyptian people have the right to say their views on that referendum. ... If you are not (Egyptian), then thank you very much. It's our own development, our own country," he said.
