A Syrian independence flag painted on a wall (Creative Commons).

"We are now in a state of war in every sense of the word," Assad said. "This war targets Syria, using a handful of Syrians and many foreigners. Thus, this is a war to defend the nation."

The president said al-Qaida infiltrated the country and accused rebels of cutting off electricity, communications, fuel lines and bread supplies across the country, The Wall Street Journal reported. 

Assad spoke for an hour in central Damascus, saying he is ready to hold a dialogue but only with those “who have not betrayed Syria.”

From the AP: 

He offered a national reconciliation conference, elections and a new constitution but demanded regional and Western countries stop funding and arming rebels trying to overthrow him first.

Syria's opposition swiftly rejected the proposal. Those fighting to topple the regime, including rebels on the ground, have repeatedly said they will accept nothing less than the president's departure, dismissing any kind of settlement that leaves him in the picture.

"We are fighting an external aggression that is more dangerous than any others, because they use us to kill each other," Assad said. "It is a war between the nation and its enemies, between the people and the murderous criminals.”

Rima Fleihan, a member of the main National Opposition Coalition, told an Arabic television station that "there can be no solution that leaves Bashar al-Assad in power.”

The United Nations estimated last week that at least 60,000 people have been killed in the conflict since the uprising began 22 months ago. 

Kamal Labwani, a veteran secular dissident and member of the opposition's Syrian National Coalition umbrella group, spoke to the AP by phone from Sweden.

“It is an excellent initiative that is only missing one crucial thing: His resignation,” Labwani said. “All what he is proposing will happen automatically, but only after he steps down.”

Read more of Neon Tommy’s coverage on Syria here.

Reach Executive Producer Agnus Dei Farrant here.