According to a statement from its embassy in Dhaka, Sweden has announced that they will increase aid to the Palestinians and recognize the State of Palestine. This decision has been praised by the Palestinian president but criticized by Israel. Sweden is the first long-term EU state to make this recognition, which comes after Prime Minister Stefan Lofven expressed a desire to support a two-state solution to the Israeli-Palestinian conflict. The Swedish government believes that recognizing Palestine will help facilitate peace talks and hopes that it will contribute to a future where Israel and Palestine can coexist peacefully. This decision is also seen as a way to support moderate Palestinian forces and provide hope during a time of heightened tensions and stalled peace talks. Sweden's increased aid to Palestine will focus on state-building, women's empowerment, and resilience to environmental and climate changes. Minister for International Development Cooperation Isabella Lövin stated that this assistance aims to support democratic and non-violent forces in Palestine.