Canberra: Australia will move to formally recognise the state of Palestine at the upcoming United Nations General Assembly next month, Prime Minister Anthony Albanese announced, with a key condition that the militant group Hamas plays no role in its future governance.

Speaking on the decision, Mr Albanese said the move reflects Australia’s commitment to a two-state solution as the “best hope” for ending the ongoing conflict in the Middle East.

"Australia will recognise the state of Palestine. Australia will recognise the right of the Palestinian people to a state of their own, predicated on the commitments Australia has received from the Palestinian Authority," Mr Albanese said.

He stressed that recognition must be based on a peaceful and democratic framework, noting that the Palestinian Authority has pledged to recognise Israel's right to exist, demilitarise, and hold general elections, among other commitments.

“A two-state solution is humanity's best hope to break the cycle of violence in the Middle East and to bring an end to the conflict, suffering and starvation in Gaza,” he added.

Mr Albanese acknowledged decades of failure in advancing international recognition for both Israel and Palestine but said the international community could not afford to wait for perfect conditions.

“The risk of trying is nothing compared to the danger of letting this moment pass us by. The toll of the status quo is growing by the day and it could be measured in innocent lives,” he said.

Foreign Minister Penny Wong echoed the prime minister’s remarks, noting the long-standing promise of Palestinian statehood.

"It's been more than 77 years since the world promised a Palestinian state," Ms Wong said. "In the nearly two years since October 7, we have been working with the international community on breaking the cycle of violence. We can't keep waiting for the end of a peace process that has ground to a halt."

Australia has long upheld a bipartisan position in support of a two-state solution, advocating for the peaceful coexistence of Israel and Palestine within secure and internationally recognised borders.

The announcement comes amid growing global momentum for Palestinian statehood. Several of Australia's close allies -- including the United Kingdom, France, and Canada -- have signalled their readiness to extend formal recognition to Palestine at the UN next month.