Why is Trump doing this? Moving the US embassy from Tel Aviv to Jerusalem, and recognising the holy city as Israel's capital, was a promise Trump made during his election campaign last year. Wednesday's announcement will thrill key financial donors like Las Vegas casino magnate Sheldon Adelson, who reportedly gave $25m to groups backing Trump ahead of the 2016 election. In April, the Politico news website reported that Adelson had expressed anger at Trump over his failure to fulfil the Jerusalem pledge. The shift is likely to boost Trump's popularity with his core, right- wing evangelical base. The measure has broad support among American legislators too. The Jerusalem Embassy Act, passed by the US Congress in 1995, calls for the US embassy to be moved to Jerusalem. Trump's predecessors, however, have repeatedly invoked an inbuilt waiver every six months, citing security concerns. In June, Trump also delayed the relocation while instructing his son-in-law Jared Kushner to launch an effort to restart long-stalled peace talks between the Palestinians and Israelis. This week, the six-month deadline passed without Trump renewing the waiver. Meanwhile, The New York Times on Sunday reported that the US and Saudi Arabia are backing a peace plan that gives Israel full control over Jerusalem. Citing unnamed Palestinian, Arab and European sources, the newspaper said Saudi Crown Prince Mohammed bin Salman, who is very close to Kushner, presented the plan to Palestinian President Mahmoud Abbas in November. Both the US and Saudi-Arabia denied the report.

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