Israeli Prime Minister Ehud Olmert has said he will resign if he's indicted after allegations that he accepted illegal campaign donations.

Olmert responded to fresh accusations that he illegally accepted hundreds of thousands of dollars from an American Jewish businessman Morris Talansky.

"I look each and every one of you straight in the eye and say, I have never accepted a bribe. I have never put a penny in my own pocket. I was elected by you, the citizens of Israel, to be the prime minister and I don't intend to abandon my post. But, together with that, and although the law does not demand it, if the attorney general decides to press charges against me, I will resign my position."

But he added Talansky had made contributions to him for two Jerusalem mayoral campaigns, one campaign for chairman of the Likud Party and another to cover campaign debt retroactively.