Israeli Prime Minister Benjamin Netanyahu is to meet German Chancellor Angela Merkel on Thursday for talks on efforts to reach peace in the Middle East, dpa reported The Israeli premier met with German head of state Horst Koehler on Wednesday, after talks with US envoy George Mitchell in London in which Netanyahu reported "progress" toward a resumption of peace talks with the Palestinians. The central questions on Netanyahu's agenda are garnering European support for a tougher stance against Iran and reaching a deal on controversial Israeli settlement construction in the West Bank, the cessation of which is a key Palestinian precondition for going back to the negotiating table. Merkel preceded the visit by calling for a greater readiness for compromise on Netanyahu's part, in an interview with German television. Merkel told the N24 broadcaster on Wednesday that "we shouldn't let the window of opportunity pass," and renewed calls for the so- called two-state solution to be implemented. Israeli-Palestinian peace talks were suspended late last year as Israel began an election campaign. They have not yet resumed. Speculation has risen in recent days that Israel and the Obama administration, which has demanded that Israel stop all settlement construction, are close to reaching a deal. -- SPA