Israeli Prime Minister Benjamin Netanyahu said he will give final approval for the seizure of Gaza City while also restarting negotiations with Hamas aimed at returning all the remaining captives and ending the nearly two-year-old war, but on “terms acceptable to Israel”.

Speaking to soldiers near Gaza on Thursday, Netanyahu said he was still set on approving plans for seizing Gaza City, the densely populated centre at the heart of the Palestinian enclave, forcibly displacing close to 1 million people and carrying out the systematic demolitions of Palestinian homes.

“At the same time I have issued instructions to begin immediate negotiations for the release of all our hostages and an end to the war on terms acceptable to Israel,” Netanyahu said, adding: “We are in the decision-making phase.”

The wide-scale operation in Gaza City could start within days after Netanyahu grants final approval at a meeting with senior security officials later on Thursday.

Israeli forces have already stepped up attacks there, and thousands of Palestinians have left their homes as Israeli tanks edged closer to Gaza City over the last 10 days.

Hamas said earlier this week that it had agreed to a ceasefire proposal from mediators Qatar and Egypt, which, if accepted by Israel, could forestall the assault.

Israel’s army plans to call up 60,000 reservists and extend the service of 20,000 more.

The proposal on the table calls for a 60-day ceasefire and the release of 10 living captives held in Gaza by Hamas and of 18 bodies. In turn, Israel would release about 200 Palestinian prisoners held by Israel.

Once the temporary ceasefire begins, the proposal is for Hamas and Israel to begin negotiations on a permanent ceasefire that would include the return of the remaining captives.

Marwan Bishara, Al Jazeera’s senior political analyst, has likened Netanyahu’s announcement about relaunching purported truce talks while the military escalates its assault on Gaza City to “negotiation under fire”.

“There will be no stoppage of the fighting. There will be no breaks in the genocide. Hamas is going to have to make up its mind as Israel kills dozens, perhaps hundreds, of Palestinians moving forward [and] as it transfers a million Palestinians southward in Gaza,” Bishara said.

“Israel is now dictating all the terms, and it’s not listening to anyone, and it has a green light from Washington.”

At least 48 Palestinians were killed in Israeli attacks across Gaza since dawn, including 16 aid seekers who were the latest victims of shootings at GHF aid distribution points.

Meanwhile, two more people have starved to death in Gaza in the past 24 hours, the Health Ministry said on Thursday. The new deaths raised the number of Palestinians who have died from Israeli-induced hunger to 271, including 112 children, since the war began.

A renewed Israeli offensive could bring even more casualties and displacement to the famine-struck territory. The UN agency for Palestinian refugees (UNRWA) estimated that 90 percent of Gaza’s residents have been displaced, warning that shelters are deteriorating and any further displacement will worsen the catastrophic situation.

The Palestinian Ministry of Interior denounced Israel’s push to seize Gaza City as a “death sentence” for the more than one million people living there.

The Palestinian Health Ministry also released a statement responding to what it says is an Israeli push to transfer health system resources to the south of the enclave.

“The Ministry of Health expresses its rejection of any step that would undermine what remains of the health system following the systematic destruction carried out by the Israeli occupation authorities,” it said.

“This step would deprive more than one million people of their right to treatment and put the lives of residents, patients and the wounded at imminent risk.”

Some Palestinian families in Gaza City have left for shelters along the coast, while others have moved to central and southern parts of the enclave, according to residents there.

“We are facing a bitter, bitter situation, to die at home or leave and die somewhere else. As long as this war continues, survival is uncertain,” Rabah Abu Elias, 67, a father of seven, told the Reuters news agency.

“In the news, they speak about a possible truce, on the ground, we only hear explosions and see deaths. To leave Gaza City or not isn’t an easy decision to make,” he said.

Meanwhile, Israeli air attacks also destroyed a tent camp in Deir el-Balah, central Gaza, where many people have sought refuge. Residents said the Israeli military warned them to flee shortly before the attacks set the camp ablaze.

Families, many with children, could later be seen sifting through the ashes for the belongings they had managed to take with them during earlier evacuations.

Mohammad Kahlout, who had been displaced from northern Gaza, told The Associated Press they were given just five minutes to gather what they could and flee.

“We are civilians, not terrorists. What did we do, and what did our children do, to be displaced again?” (AlJazeera)