Discuss as:

Abbas accepts Palestinian prime minister's resignation

Palestinian President Mahmoud Abbas has accepted the resignation of Prime Minister Salam Fayyad. The two men reportedly had ongoing disputes over government policy. MSNBC's Mara Schiavocampo reports.

Palestinian President Mahmoud Abbas accepted the resignation of Prime Minister Salam Fayyad on Saturday, a Palestinian official and the Palestinian news agency said.

"Abbas agreed to accept Fayyad's resignation," the Palestinian official said. News agency Wafa said Abbas had asked Fayyad to stay on as caretaker until a new government was formed.

Sources told Reuters on Fayyad had offered his resignation to Abbas on Wednesday following a rift between the two men over government policy.