Australian Foreign Minister Penny Wong and Prime Minister Anthony Albanese have shown support for recognizing Palestine as a state, aligning with the global push for a two-state solution to the Israeli-Palestinian conflict.

The proposal for recognition has led to domestic controversy within Australia, eliciting concerns over security and tension with Jewish groups and the Israeli ambassador.

Internationally, the move towards Palestinian statehood is gaining momentum with the UN considering full membership for Palestine and support from leaders in Spain and the UK.

Opposition in Australia, spearheaded by Opposition Leader Peter Dutton, criticizes the government's stance, but the government insists it reflects international consensus and serves the interests of both parties in the conflict.

The Australian position on the Israel-Palestine issue is evolving, marking a significant shift in its foreign policy, though the outcome remains in flux.