The Swedish embassy in Dhaka announced that they would be increasing aid to the Palestinians after officially recognizing the State of Palestine. This decision was met with approval from the Palestinian president and criticism from Israel. Sweden is the first long-term EU state to make this recognition, which comes after Prime Minister Stefan Lofven expressed his government's commitment to a two-state solution. By recognizing Palestine, Sweden hopes to contribute to peace and security in the region. The Palestinians have been seeking independence for decades, and Sweden's decision is seen as a way to support moderate forces and bring hope to both sides. The Swedish government also plans to increase aid to Palestine over the next five years to support state-building efforts and promote democracy, human rights, and gender equality.