Hamas has agreed to release hostage Arbel Yehud from Gaza on Thursday, easing the first major crisis of the Middle East ceasefire deal.

Israel had complained that Ms Yehud, a civilian, was supposed to be released last Saturday, prompting a tit-for-tat exchange that threatened to derail the fragile peace settlement.

However, a statement from the Israeli prime minister’s office late on Sunday evening confirmed that following “strong and determined” negotiations led by Benjamin Netenyahu, a total of three hostages are to be released on Thursday.

Ms Yehud, Agam Berger, a soldier, and one more prisoner will all be freed, in exchange for Israel allowing Palestinians to return to the northern part of the strip on Monday, the prime minister’s office confirmed on Telegram.

Under the agreement, a further three hostages are to be released on Saturday, and Hamas will release a list confirming the status of all the hostages who are to be freed under the first phase of the ceasefire deal, the readout said.

It added that Israel “will not tolerate any violation of the agreement”, in a warning to Hamas about further breaches.

Under the Gaza ceasefire deal, female civilians are to be freed first, followed by female soldiers, the elderly, and those with health conditions.

People gather by a banner welcoming people near the rubble of a collapsed building along Gaza's coastal al-Rashid Street for people to cross from the Israeli-blocked Netzarim corridor from the southern Gaza Strip into Gaza City

Israel will now allows Gazans to return to the northern part of the strip on Monday – GETTY IMAGES

Israel had expected Ms Yehud to be released last Saturday, but four Israeli soldiers were released instead.

When Hamas responded that she was to be released the following Saturday, Israel halted plans to allow Palestinians to travel to northern Gaza.

Hamas then warned of “repercussions” if Israel continued to block Palestinians from returning to their homes, with each side accusing the other of having breached the terms of the ceasefire deal.

Ms Yehud will be part of the third round of hostages to return home after Karina Ariev, Daniella Gilboa, Naama Levy and Liri Albag, who were kidnapped from the Nahal Oz military base in the Oct 7 attacks, were released on Saturday.

The first three female Israeli civilians were set free last weekend.

Hamas’ decision to release soldiers instead of civilians raised concerns among Israelis about the condition of the remaining civilian hostages.

Negotiations over the latest hostages are understood to have been brokered by Qatar, after Hamas said late on Sunday that it had handed over the list of Israeli hostages to the mediators.

Qatar confirmed the agreement laid out by Mr Netanyahu in a statement late on Sunday.

The ceasefire’s first phase runs until early March and includes the release of 33 hostages and nearly 2,000 Palestinian prisoners.

News that negotiations remain on track came as Israel and Lebanon agreed to extend their ceasefire deal until February 18.

“The Government of Lebanon, the Government of Israel, and the Government of the United States will also begin negotiations for the return of Lebanese prisoners captured after October 7, 2023,” the White House said.

Donald Trump was reportedly “thrilled” by the news of the upcoming hostage release.

Steve Witkoff, Mr Trump’s Middle East envoy, hailed the work of Qatar and Israel in the talks and said it was “wonderful” news, adding: “I talked to the president about it and he was thrilled about it.”

According to The Times of Israel, he said that if today’s negotiations were an indication of the two sides’ ability to overcome “blips”, there is reason to be positive about the ceasefire holding.

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