Israel launches incentive plan to encourage foreign embassy relocations to Jerusalem

The Israeli government on Sunday unanimously approved a proposal to create financial incentives for governments to move their embassies to the nation's capital, Jerusalem.

The office of Foreign Minister Gideon Sa’ar and the Minister of Jerusalem Affairs and Heritage, Yariv Levin, plan seeks to “encourage countries around the world to recognize Jerusalem as the capital of Israel and to put this recognition into practice by moving foreign embassies to Jerusalem,” according to the statement.

The proposal is part of a broader diplomatic strategy to strengthen international recognition of Jerusalem as the capital of Israel.

Sa'ar's office announced that the incentives package will provide “encouragement and assistance…through participation in financing expenses related to establishing or relocating embassies to Jerusalem, as well as housing solutions and planning solutions as needed.”

Israel’s efforts to strengthen international recognition of Jerusalem as its capital have received support from the United States.

Speaking at an event last Wednesday hosted by the Jerusalem Center for Applied Policy (JCAP) and the Jerusalem Winery, in cooperation with Jerusalem Deputy Mayor Adir Schwartz, U.S. Deputy Ambassador to Israel David Brownstein addressed foreign diplomats in Israel.

Brownstein urged them to support relocating their embassies to Jerusalem, saying, “We are in the process of moving all assets and personnel from Tel Aviv to Jerusalem. This is the heart of public diplomacy,” adding, “Give a push to moving the embassies to Jerusalem.”

Currently, the United States, Guatemala, Honduras, Kosovo, Papua New Guinea, Paraguay and Fiji maintain their embassies in Jerusalem.

During a visit to Israel in 2024, Argentine President Javier Milei vowed to move Argentina’s embassy to Jerusalem, but it has since been delayed.

In January, the country of Samoa, which is almost entirely Christian, pledged to open an embassy in Jerusalem in 2026.

In April, reports indicated that the Czech Republic, one of Israel’s strongest supporters in the European Union, was planning to announce the relocation of its embassy to Jerusalem, but no official decision or announcement has been made so far.

Hungary has long been expected to move its embassy to Jerusalem, with Israeli officials previously suggesting such a step would take place quickly, though it has not materialized. However, Hungary has relocated its embassy’s commercial department to Jerusalem, while Ecuador opened a representative office in the city in December 2025, maintaining its main embassy in Tel Aviv.