U.S. Secretary of State John Kerry on Thursday reiterated his call for the resumption of peace talks between Israel and the Palestinians, drawing a correlation between the lack of a diplomatic process and the growing power of extreme Islamist groups like Islamic State.

Speaking at a State Department ceremony honoring the Muslim holiday of Eid al-Adha, Kerry suggested that the unresolved conflict between Israel and the Palestinians was helping the Islamic State group recruit additional volunteers.

"In the context of this challenge that we face today, I think that it is more critical than ever that we fight for peace, and I think it is more necessary than ever," Kerry said.

"As I went around and met with people in the course of our discussions about the [anti-Islamic State] coalition, the truth is there wasn't a leader I met with in the region who didn't raise with me spontaneously the need to try to get peace between Israel and the Palestinians, because it was a cause of recruitment and of street anger and agitation that they felt -- and I see a lot of heads nodding -- they had to respond to," Kerry explained.

"We need to build peace through specific partnerships. One partnership is specifically the effort to try to drive towards this peace, to have a compromise, to find a way to create two states that can live together side by side, two peoples, with both of their aspirations being respected. I still believe that's possible, and I still believe we need to work towards it," he added.

The remarks drew the ire of Economy and Trade Minister Naftali Bennett, who accused the U.S. secretary of state of fueling global terrorism.

"Turns out that even when a British Muslim beheads a British Christian there will always be someone who blames the Jews," Bennett said. "The assertion that the absence of peace between Israel and the Palestinians is helping the Islamic State group provides a tail wind to support global terrorism."

"I propose listening to ISIS and believing them: These are terrorists who want to take control over the entire Middle East. We can fight it or we can explain it away. The choice is in the hands of the world, and the world will bear the consequences," Bennett added.

Meanwhile, a U.S. official said Thursday that envoys from the United States, the United Nations, the European Union and Russia will meet in Brussels on Oct. 24 to discuss the latest developments in the Israeli-Palestinian conflict.

The official spoke on condition of anonymity because there had been no official announcement.

The Quartet of Mideast mediators last met in New York in September 2013. It has been sidelined in U.S.-led peacemaking efforts. But with Kerry's failure to broker a peace agreement, it may have a role to play.