JERUSALEM — Israel and Hamas say they have reached an agreement to exchange the remains of four dead Israeli hostages in return for hundreds of Palestinian prisoners on Thursday, preserving a fragile ceasefire that had looked at risk of collapse.

Israel had delayed the release of 600 prisoners, originally scheduled for last weekend, in protest at what it said was cruel treatment of hostages during their release by Hamas.

The militant group described the delay as a "serious violation" of the truce, which is set to enter its second phase this weekend.

But Hamas now says an agreement has been reached to resolve the dispute, clearing the way for the return of the four bodies of four more dead hostages. Israel will release hundreds of prisoners, along with an unspecified number of women and minors detained since Hamas' attacks of 7 October 2023.

The prisoners will be released "simultaneously with the bodies of the Israeli prisoners who were agreed to be handed over”, a statement from Hamas said. The group confirmed that the exchange would take place on Thursday.

Previous exchanges have been marred by what Israel, the UN and the Red Cross have called "humiliating" ceremonies in which Israeli hostages were paraded by Hamas and forced to wave to large crowds.

Further controversy erupted last week when Israeli forensic testing confirmed that a returned body supposedly belonging to hostage Shiri Bibas in fact belonged to an unidentified woman.

The latest agreement completes both sides' obligations for the first phase of the ceasefire and paves the way for the truce's second phase, which is set to include talks on the full withdrawal of Israel from the Gaza Strip.

The ceasefire, brokered by the US, Egypt and Qatar, ended 15 months of heavy fighting after Hamas' 7 October attack which killed some 1,200 people in Israel and took around 250 hostage. — Euronews