But negotiators were still wrangling late yesterday over the final arrangements, with two Hamas sources telling AFP the group was insisting that Israel include seven senior Palestinian leaders on the list of those to be released.

Prime Minister Benjamin Netanyahu was nevertheless confident"This is an emotional evening, an evening of tears, an evening of joy, because tomorrow our children will return to our borders," Netanyahu said, quoting a biblical verse.

"Together we achieved tremendous victories, victories that amazed the whole world ... But at the same time I must tell you, the fight is not over," he said.

Israel's army chief, Lieutenant General Eyal Zamir, also claimed victory.