Far-right conservative partners are skeptical of P.M. Netanyahu's participation in John Kerry's two-state push.

The Superland park near Tel Aviv came under fire after reports emerged this week that it designated separate visiting times for groups of Jewish and Arab children.

President Shimon Peres said the sides could not afford "to lose this opportunity."

Critics are accusing Prime Minister Benjamin Netanyahu of missing a historic opportunity.

Uproar comes as Netanyahu's government is slashing welfare benefits and raising taxes to cope with a huge budget deficit.

Kerry said officials must have "some sense of direction as fast as we can."

Activists say the move could be an attempt to clear the way for renewed peace talks with the Palestinians.

The discussion comes as U.S. Secretary of State John Kerry attempts to re-energize peace talks.