Tzipi Livni in her primary role of Foreign Minister. As Foreign Minister, Livni was in charge of negotiations with the Palestinian Authority. During these negotiations, she raised the possibility of fixing the future border between Israel and the future Palestinian state so as to place Israeli Arab towns within the Palestinian state, an idea originally suggested by Israeli politician Avigdor Liberman. Her record for pragmatism as foreign minister earned her a high level of respect among US, European, and even Arab diplomatic circles, that has lasted even after she left the post. After the March 2006 Knesset election, she was described as
Tzipi Livni by Livni's decision to leave Likud and also accepted her support for the two-state solution, although it "hurt her." Livni entered politics in 1995 when she tried unsuccessfully to win a place on Likud's list to the Knesset. She was appointed as head of the government-owned corporations authority in Netanyahu's government, and oversaw the privatization of a number of companies. While in this capacity, in 1998 she was considered a prominent candidate to become director general of the Finance Ministry. Livni would later rue the decision to privatize certain companies and natural resources. As Hatnuah chairwoman in 2013, she wrote: