RAMALLAH, West Bank (CNN) -- Turkish Prime Minister Mesut Yilmaz's Middle East tour took him into Palestinian territory Tuesday, where he responded to Syria's criticism of his visit to Israel by accusing Damascus of "encouraging ... terrorism in Turkey."

The growing military ties between Israel and Turkey have concerned Syria, one of Israel's staunchest adversaries.

"The (Syrian Council of Ministers) stressed that any military alliance with Israel is considered a block against the achievement of a just and comprehensive peace in the region," a Syrian spokesman said.

Syria's official daily newspaper Al Baath called ties between the two nations a "suspicious alliance" and said that Yilmaz's visit to Israel on Monday was a "hostile move." Yilmaz responded forcefully.

"Anyone who speaks of hostility in the region ... should focus on the policies of the Syrian government, which encourages separatist terrorism in Turkey," he said during a press conference in the self-ruled West Bank town Ramallah with Palestinian leader Yasser Arafat.

Turkey has long accused Syria of supporting Kurdish separatist rebels operating inside Turkey.

Turkey and Israel have maintained close ties since signing a defense pact in 1996. The two countries held a joint naval maneuver in the eastern Mediterranean in January, which Egypt, Iran, Iraq and Syria condemned. Jordan sent an observer.

Yilmaz confirmed that the two countries are planning a second exercise and will invite Egypt and Jordan to participate. Both Israel and Yilmaz said the alliance is for mutual benefit and is not aimed at a third country.

Yilmaz had some criticism of his own for Israel on Tuesday, calling on his military ally to accept American proposals to end an 18-month deadlock in peace talks between the Palestinians and Israelis.

"We're waiting and expect to see an exit of the process from the current situation to reach its goal by the acceptance of the other side, that is the Israeli side, of the American initiative as the Palestinian side did," he said.

Palestinians have said they would accept a further 13 percent cession of lands in the West Bank for self-rule, but Israel and the Palestinians have been unable to come to terms on how that land would be ceded.

Reuters contributed to this report.