Donald Trump's decision Wednesday to recognise Jerusalem as Israel's capital has drawn sharp criticism, with the significant exception of Israel.

Here are key reactions from around the world:

- Israel salutes 'historic' day -

Israeli Prime Minister Benjamin Netanyahu hailed Trump's recognition as "historic" and a "courageous and just decision".

Netanyahu also pledged no change to the status quo at Jerusalem's highly sensitive holy sites in the city, sacred to Jews, Christians and Muslims.

- 'Undermining peace' -

Palestinian president Mahmud Abbas said the US could no longer play the role of peace broker after Trump's decision.

"These deplorable and unacceptable measures deliberately undermine all peace efforts," Abbas said in a speech.

- 'Destroys two-state solution' -

The secretary-general of the Palestine Liberation Organisation said Trump had destroyed any hopes for a two-state solution to the Israeli-Palestinian conflict.

"He destroyed the two-state solution," Saeb Erekat, who long served as the Palestinians' top negotiator, told journalists.

- 'Open gates of hell' -

Hamas said Trump's decision would "open the gates of hell" on US interests in the region.

"This decision will open the gates of hell on US interests in the region," Ismail Radwan, an official with the Palestinian Islamist movement that runs the Gaza Strip, told journalists.

- 'New intifada' -

Iran condemned the US move, saying it threatened a "new intifada", or uprising, against Israel.

"The provocative and unwise decision by the US... will provoke Muslims and inflame a new intifada and an escalation of radical, angry and violent behaviour," the foreign ministry said on its website.

- UN against 'unilateral measures' -

UN Secretary-General Antonio Guterres implicitly criticised Trump's announcement, warning that Jerusalem's status must be resolved through direct Israeli-Palestinian negotiations.

"From day one as secretary general of the United-Nations, I have consistently spoken out against any unilateral measures that would jeopardise the prospect of peace for Israelis and Palestinians," Guterres said.