Australia recognizes west Jerusalem as capital of Israel

Australia has become one of the few countries to formally recognize West Jerusalem as Israel’s capital but says it will not move its embassy from Tel Aviv until a peace settlement is reached.

“Australia now recognizes West Jerusalem, being the seat of the Knesset and many of the institutions of government, is the capital of Israel,” Prime Minister Scott Morrison said.

“We look forward to moving our embassy to West Jerusalem when practical,” he told reporters in Sydney.

Morrison said in October he was open to shifting Australia’s embassy from Tel Aviv. President Donald Trump’s decision to move the U.S. embassy to Jerusalem from Tel Aviv in May delighted Israel, infuriated Palestinians and upset the wider Arab world and Western allies.

The prime minister, Scott Morrison said the government will also recognize a future state of Palestine with its capital in East Jerusalem after a settlement has been reached on a two-state solution.

The foreign policy shift on West Jerusalem was announced during Morrison’s speech to the Sydney Institute on Saturday.

The opposition leader, Bill Shorten said the government’s decision was a “humiliating back down” from a rushed byelection announcement and accused the prime minister of putting “his political interest ahead of our national interest”. His comments were echoed by Labor’s foreign affairs spokeswoman, Penny Wong, who said Morrison was trying to save face.

It also drew criticism from Muslim-majority neighbours such as Indonesia and Malaysia, neither of whom formally recognize Israel’s right to exist. Arab countries worried that the move would unnecessarily inflame tensions in the Middle East.

Israel regards all of Jerusalem as its capital, including the eastern sector that it annexed after the 1967 Middle East war, and wants all embassies based there. The international community believes Jerusalem’s status should be resolved through negotiation.

Morrison said Australia would not move its embassy to West Jerusalem until the city’s final status was determined, but said trade and defence offices would be opened there.

He confirmed Australia’s support for a two-state solution with a Palestinian capital in East Jerusalem.