Israel's attorney general took a step Friday toward indicting Prime Minister Benjamin Netanyahu's wife for corruption in a scandal that deepened the mounting legal problems of Israel's first family.

Attorney General Avichai Mandleblit announced he is considering charging Sara Netanyahu with graft, fraud and breach of trust for alleged overspending of over $100,000 in public funds on private meals at the prime minister's official residence.

Israeli Prime Minister Benjamin Netanyahu said Wednesday that Israel is enjoying its greatest relations ever with the Arab world, even without a peace accord with the Palestinians.

Netanyahu was addressing Foreign Ministry personnel ahead of the Jewish new year, saying the extent of relations has yet to fully be made public. He said their scope was greater than "any other period in Israeli history."

International pressure on the Palestinian Authority to halt payments to the families of Palestinians held in Israeli jails, including those convicted of attacks, could trigger political crisis, rights groups say.

The six-page Document of General Principles and Policies unveiled Monday by Hamas, accepts a Palestinian state within the 1967 borders while refusing to recognize Israel.

Israel on Monday condemned French far-right presidential candidate Marine Le Pen's for denying her country was responsible for the war-time round-up of Jews later sent to Nazi death camps.

Israeli Defense Minister Avigdor Lieberman said Thursday he was "100 percent sure" Syrian President Bashar al-Assad ordered a suspected chemical attack this week that provoked international outrage.

Lieberman said the alleged attack in the neighbouring country was carried out "on the direct and premeditated command of Syrian President Bashar al-Assad with Syrian planes."

Israeli Prime Minister Benjamin Netanyahu on Thursday backed pardoning a soldier sentenced to 18 months in prison for shooting dead a wounded Palestinian assailant, media reported. 

"I am still in favour of pardoning Private Azaria," Netanyahu told reporters accompanying him on an official visit to Australia, Israel's Channel 10 said. 

U.S. President Donald Trump's break with decades of support for a two-state solution to the Israeli-Palestinian conflict is irresponsible and does not advance peace, a senior Palestinian official said on Wednesday.

A Palestinian was shot dead Sunday and five others were wounded by Israeli soldiers at the Jenin camp in the occupied West Bank, Palestinian medical sources said.

Israeli authorities on Sunday approved building permits for 566 settler homes in annexed east Jerusalem, plans that had been postponed until U.S. President Donald Trump took office, the city's deputy mayor said.