Diplomatic crisis unfolds as Israel says ‘unusual’ decision ‘will strain the ties between the countries’

Paraguay has reversed a decision to move its embassy from Tel Aviv to Jerusalem after just three months, prompting anger from Israel which responded by shuttering its embassy in Asunción and recalling its ambassador.

The South American country announced in May that it would follow Donald Trump’s lead by relocating the mission to the holy city, all of which Israel claims as its capital even as Palestinians and most world powers argue its status remains under dispute.

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Read More Outcry from Israel after Paraguay moves its Jerusalem embassy back to Tel Aviv

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