However, Israel said Hamas had accepted a "softened" version of a deal offered by Egypt, which was "not acceptable", according to reports.
An Israeli official added that the militants' announcement appeared to be a "ruse" intended to cast Israel as the side not willing to accept a deal.
Hamas issued their statement early yesterday evening saying its leader Ismail Haniyeh had accepted a proposal in a phone call with Qatari PM Mohammed bin Abdulrahman bin Jassim AI Thani and Egypt's intelligence minister General Abbas Kamel.
The deal includes a ceasefire, reconstruction of Gaza, return of the displaced and a prisoner swap deal, according to Hamas official Taher Al-Nono.
The two Middle Eastern nations have been mediating months of talks between Israel and Hamas. The jihadists' announcement came after Israeli military ordered 100,000 Palestinian civilians to leave parts of Rafah stoking fears a ground offensive was imminent. With around 1.4 million refugees sheltering in the war-torn strip's southern city, humanitarian groups have warned any military operation could end in "catastrophe".
The US and Britain have also urged restraint, with President Joe Biden speaking with Israeli Prime Minister Benjamin Netanyahu yesterday.
The US leader was said by his officials to have underscored that a ceasefire with Hamas was the best way to protect the lives of Israeli hostages still held in Gaza.
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