The Game :: PeaceMaker - A Video Game to Promote Peace: "Genre: PeaceMaker is a role-playing game with a high level view of the Israeli-Palestinian conflict. It is not a first-person shooter."
See the demo here.
Update: I was just reading in An Army of Davids the other day about video games and how they actually can be educational. I'd like to try this one out. It looks fascinating.