Portugal says it will recognise a Palestinian state on Sunday, making it the latest Western nation preparing to shift policy as the war in the Gaza Strip shows no sign of stopping.

The foreign ministry made the announcement ahead of next week's United Nations General Assembly (UNGA) in New York.

France, the UK, Canada, and Australia are preparing similar announcements.

Israel has denounced the move, with Prime Minister Benjamin Netanyahu saying it rewards terror following Hamas's attack on Israel.

The US, Israel's main ally, echoed Netanyahu's argument, with President Donald Trump stating his disagreement with recognition during a state visit to the UK.

Approximately three-quarters of the UN's 193 members already recognise a Palestinian state, which in 2012 was granted the status of non-member observer state.

As world leaders prepare to gather at the UN General Assembly, Israeli troops continue to advance into Gaza City amid a ground offensive, forcing thousands to flee. Since the onset of hostilities, over 65,000 people have reportedly died in Gaza due to Israeli attacks.

The ongoing situation continues to intensify calls for political recognition and change, as both humanitarian concerns and geopolitical interests collide.