SYDNEY (Reuters) -Australia has urged Israel “not to go down this path”, after Prime Minister Netanyahu said Israel intended to take military control of Gaza.

“Australia calls on Israel to not go down this path, which will only worsen the humanitarian catastrophe in Gaza,” Foreign Minister Penny Wong said in a statement on Friday.

Wong said permanent forced displacement was a violation of international law and repeated calls for a ceasefire, aid to flow unimpeded and for militant group Hamas to return the hostages taken in October 2023.

“A two-state solution is the only pathway to secure an enduring peace – a Palestinian state and the State of Israel, living side-by-side in peace and security within internationally-recognised borders,” she added.

Australia has not yet joined Western allies such as the U.K., Canada and France in announcing it would recognise Palestinian statehood but has said it would make a decision “at an appropriate time”, while escalating its criticism of Israel’s actions.

Wong’s comments come in response to Netanyahu saying Israel intended to take military control of all of Gaza during an interview with Fox News.

He said Israel wanted to hand over the territory to Arab forces that would govern it, without elaborating on the governance arrangements or which Arab countries could be involved.

After a security cabinet meeting on Friday, Netanyahu’s office confirmed a plan to take over Gaza City had been approved.

A statement said the Israeli Defence Forces would prepare to take control of Gaza City while providing humanitarian aid to the civilian population outside the combat zones.

(Reporting by Christine Chen in Sydney; Editing by Kate Mayberry)