JERUSALEM (AFP) - Israeli authorities have arrested the people responsible for the bombing of a rush-hour bus last week in Tel Aviv that wounded 29 people, domestic security agency Shin Bet said on Thursday.

"The authors of (the Nov 21) attack on a bus in Tel Aviv that wounded 29 people were arrested a few hours after the attack" near the West Bank city of Ramallah, a statement said.

"Members of this cell in Beit Lakya linked to Hamas and (Islamic) Jihad admitted during their interrogation having planned attacks against Israelis, prepared a bomb and chosen Tel Aviv as a target," the statement added.

It said they also admitted recruiting an Arab Israeli from Taibeh, an Arab village near Tel Aviv, to carry out the attack.

The blast came at the height of an Israeli air campaign against militants in the Gaza and rocket fire from the enclave that ended in a truce on Wednesday.

It struck close to the sprawling defence ministry complex, the Kiriya.

The last time Tel Aviv was hit by a bus bombing was in April 2006.

Last year, an explosion at a bus stop in Jerusalem ripped through a bus, killing a British tourist and wounding 30 others.