SYDNEY - Australian Prime Minister Scott Morrison said Saturday that his government had decided to formally recognize west Jerusalem as Israel's capital, but wouldn't move its embassy until there's a peace settlement.
He said Australia would recognize East Jerusalem as Palestine's capital only after a settlement had been reached on a two-state solution. The Australian Embassy won't be moved from Tel Aviv until such a time.
While the embassy move was delayed, Morrison said the government would establish a defense and trade office in Jerusalem and would also start looking for an appropriate site for the embassy.
He said in a speech: 'The Australian government has decided that Australia now recognizes west Jerusalem, as the seat of the Knesset and many of the institutions of government, is the capital of Israel.''