Murray McCully to discuss Middle East with world leaders

Murray McCully will meet leaders and senior ministers in Israel, Palestine and Cyprus, as well as Arab League officials in Cairo. Photo / UN, Kim Haughton

Foreign Minister Murray McCully will leave behind an ongoing controversy over a multi-million dollar farm deal when he heads overseas on official business this weekend.

Mr McCully will meet leaders and senior ministers in Israel, the occupied Palestinian territories and Cyprus, as well as Arab League officials in Cairo.

"New Zealand will begin our presidency of the United Nations Security Council in July, and matters relating to the Middle East and the on-going situation in Cyprus will be on the agenda," Mr McCully said.

"This visit will ensure New Zealand is well-placed to engage on the Middle East Peace Process (MEPP), having heard directly from the relevant parties in Israel and the occupied Palestinian territories.

"My visit to Cyprus will give me the opportunity to hear from some of the key players on the Cyprus question and to encourage progress in the negotiations, which have recently resumed."

Mr McCully's efforts to placate a disgruntled Saudi businessman and clear the way for a regional free trade agreement with Middle Eastern countries has been the subject of intense debate in Parliament this week.

National has attempted to push back by blaming Labour for antagonising businessman Sheikh Hamood Al Ali Khalaf to the extent where the Government was exposed to a legal claim of up to $30 million.

Spending about $11.5 million on Mr Al Ali Khalaf's farm in Saudi Arabia was a way to defuse that threat, Mr McCully has argued.

It would also mend relations with the Saudis to make a stalled regional free trade with Gulf Cooperation Council members more likely, and serve as a demonstration base for Kiwi agribusiness.

A spokesman for Mr McCully said the trip was focussed on UN Security Council issues and no countries visited were members of the Gulf council.