UN Special Coordinator for the Middle East Peace Process Tor Wennesland on Thursday called for a better coordinated and strategic approach to the Israeli-Palestinian issue. "We must push beyond the paradigm of managing the conflict and move toward resolving it," he told the Security Council in a briefing. The persistence of conflict drivers and the absence of real political will to change course have empowered extremists and are eroding the perception among Palestinians and Israelis that a resolution of the conflict is achievable. These dynamics, combined with the financial crisis, are dangerously converging and intensifying, he warned. While immediate steps to reverse negative trends and support the Palestinian people are essential, a better coordinated and strategic approach by the parties and the international community is needed, he said. "Economic relief must be expanded and made more sustainable. An agreed and updated regulatory framework for the Israeli-Palestinian economic relationship is not only vital to bringing about meaningful economic dividends for the Palestinians but would add a tangible political perspective to these economic steps," he said. "This approach, however, must be combined with political and security steps that address core conflict drivers and ultimately lead us toward an end to the occupation and the achievement of a negotiated two-state solution." Also Read: Israel-Palestine conflict: China calls for UN council action, slams US Recent weeks have been filled with the familiar pattern of daily violence, including armed clashes, settlement expansion, evictions, demolitions and seizures of Palestinian structures, as well as a deadly terrorist attack in Israel, said Wennesland. Meanwhile, the Palestinian Authority's financial situation, compounded by the constraints of the occupation, the absence of serious Palestinian reforms and unclear prospects for donor support, is dire and requires urgent attention, he said. In Gaza, efforts by the United Nations and international partners to improve Palestinian lives, and measures by Israel to ease pressure and facilitate more economic activities have enabled the fragile cease-fire to continue. Keeping the calm, however, is neither enough nor sustainable. More needs to be done to alleviate the humanitarian crisis and lift Israeli closures, he said. Wennesland expressed particular concern over a possible escalation in the West Bank. "As Jerusalem Day approaches on May 29, with the planned provocative flag march through the Muslim quarter in the Old City, I again urge authorities to take wise decisions to minimize confrontations and the risk of more violent escalation. I reiterate that the status quo at Jerusalem's holy sites must be upheld and respected," he said. "More broadly, I am extremely concerned that current dynamics, particularly in the occupied West Bank, could spiral out of control at any time. I encourage leaders on both sides to make difficult but critical decisions that will take us back from the brink and help stabilize the situation. The irresponsible and provocative language and incitement to violence must stop," he added. There are tangible, ongoing arrangements that can be regularized and expanded immediately -- if there is political will, said Wennesland. "I urge, and remain actively engaged with, Israelis, Palestinians, regional states and the broader international community to take action that will lead us back to the path of negotiations, which will end the occupation and establish two states, in line with UN resolutions, international law and bilateral agreements."