"We are open to all factions with the aim of overcoming tensions of the previous era," Nasrallah told a news conference held by videolink, adding that Hezbollah "insists on overcoming the past, healing wounds and opening gates" .

"We do not belive any faction has a decision to spark trouble", he asserted

Turning to the Shebaa Farms issue, Nasrallah said he backs attempts to free the area peacefully.

"We support efforts to liberate Shebaa Farms through negotiations," Nasrallah declared.

"If Israel ever withdrew from Shebaa Farms it would be because Hezbollah has weapons," he said.

But even after an Israeli withdrawal from Shebaa Farms, according to Nasrallah, it "would not be a complete liberation because the territory would not be under Lebanese sovereignty.

On whether, after agreeing to the prisoner swap with Israel, he would allow for the discussion of Hezbollah’s arms in national dialogue, Nasrallah said that Lebanon’s defense strategy was first formally concretized in the Memorandum of Understanding with its ally, General Michel Aoun’s Free Patriotic Movement.

“We are always ready to discuss the defense strategy. We are not afraid of discussion. Anyone afraid of discussion is weak and has done something wrong. We are unafraid. We have a comprehensive defense strategy, and are ready for discussion at all times,” he added.

“I personally announce Hezbollah’s absolute openness to any political meeting under any title and in any context if it helps in uniting Lebanon, preserving civil peace and overcoming the previous phase in Lebanon,” he reiterated at the end of the press conference.

On the prisoner exchange accord, Nasrallah said: "I, hereby, declare our acceptance of the swap deal and the issue is closed."

"We will respect the steps which are to be taken, God willing," Nasrallah added, refusing to set a date for the prisoner exchange.

"July 15 is the most probable, a bit before or a bit after," he said. "If I set a date the Israelis will only change it."

The Israeli cabinet on Sunday gave the okay for a deal under which Israel would release five Lebanese prisoners and the remains of Hezbollah members in exchange for the bodies of soldiers Ehud Goldwasser and Eldad Regev.

They were captured, badly wounded, by Hezbollah in a deadly cross-border raid on July 12, 2006 which triggered a devastating 34-day war in Lebanon. Olmert said the two were dead.

Nasrallah uncovered that the mediation in the prisoner swap, which began more than a year ago, was sponsored by the United Nations and not Germany.

He said U.N. Chief Ban Ki-Moon assigned a German citizen to carry out the mediation on behalf of the international organization.

The Hezbollah chief said the principles include swapping all Lebanese prisoners and the bodies of all the Arab and Lebanese martyrs.

He said four Iranian diplomats who disappeared in Lebanon and believed handed over to Israel by the Lebanese Forces are also to be released under the deal.

Nasrallah said the Israelis accepted to release Lebanese prisoners except Samir Qantar and rejected the principle of releasing Arab prisoners.

He said the Israelis only recently accepted to release Qantar.

Commenting on Britain's move to ban the military wing of Hezbollah and add it to its list of designated terrorist groups, Nasrallah said he was not surprised by the decision, but believed that the timing was rather "suspicious."

"This means that it will be a criminal offence to belong to, fundraise and encourage support for the military wing of the organization," junior Home Office minister Tony McNulty said in a statement.

Nasrallah labeled Britain's decision "an honor and a medal for us," adding that London is "one the founders of the Zionist entity … and the permanent sponsor of the Zionist enemy." -Lebanonwire, Naharnet, Now Lebanon