“It is time to officially recognize Jerusalem as the capital of Israel,” said Mr. Trump.
He also noted that the decision is “a long overdue step to advance the peace process and to work towards a lasting agreement”.
The decision caused sharp criticism from Arab and European leaders, as it may escalate the tensions in the region and jeopardize the peacekeeping attempts.
Pope Francis and China also phrased their deep concern over the decision, while Turkey called a meeting of the Organization of Islamic Cooperation to coordinate the answer.
The decision also means that the U.S. Embassy will move from Tel Aviv to Jerusalem, although this process will take a few years.