This comes a day after Netanyahu made a plea to the public to support his decision to free prisoners with blood on their hands, saying that it is something 'incredibly difficult' and 'painful for the whole nation of Israel'.
"I agreed to free 104 Palestinians in stages, after the start of negotiations and according to progress," he wrote on his official Facebook page.
The government is also expected to vote on a referendum bill for any territorial exchange that would be part of a final-status agreement between Israel and the Palestinians.
"This is an incredibly difficult decision, it is painful for the bereaved families, it is painful for the whole nation of Israel and it is very painful for me," Netanyahu wrote.
"In the next nine months, we will consider whether there is a Palestinian element opposite us that, like us, truly wants to end the conflict between us," the Premier wrote.
"If we succeed in achieving such a peace agreement, I will submit it to a referendum", he added in line with his earlier stand that such a move requires people's nod.
The Israeli government is likely to appoint a four-member ministerial committee which will include Netanyahu, Livni, Defence Minister Moshe Ya'alon and Public Security Minister Yitzhak Aharonovitch to oversee the peace process.
The committee will also have the authority to take decisions with regard to the release of Palestinian prisoners.
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