When the Albanese government announced its decision to recognise Palestine in September last year, it said the move was based on commitments from the Palestinian Authority to "reform governance, terminate prisoner payments, institute schooling reform, demilitarise and hold general elections".
The Palestinian Authority, which controls parts of the West Bank, has for decades provided monthly financial payments to Palestinians in Israeli prisons and to families of Palestinians killed or wounded in confrontations with Israel. Israel, the United States, the European Union and Australia have opposed the payments on the grounds that they could encourage terrorism and are a poor use of scarce resources.
The latest dispute comes as relations between Israel and Australia have already soured. Last week the Israeli government accused Foreign Minister Penny Wong of using a "blatant lie" in a speech to the United Nations, after she said 15,000 Palestinian children had been driven from their homes this year by settler violence in the West Bank, a figure more than 10 times higher than the official UN estimate. According to the UN, about 1000 Palestinian children were displaced in the first six months of this year because of settler violence.
"From where and from whom did Australian Foreign Minister Penny Wong get this blatant lie?" Israel's Foreign Ministry asked on social media.