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Trump Backs Two-State Solution, but With Israel '100 Percent'

Israeli Prime Minister Benjamin Netanyahu and President Donald Trump (CNBC YouTube channel)

President Donald Trump and Israeli Prime Minister Benjamin Netanyahu met Wednesday for the first time since the U.S. Embassy moved to Jerusalem.

They are both in New York City for the United Nations General Assembly meeting.

Trump supported a two-state Israeli-Palestinian solution for the first time, revealing that he may release a Mideast peace plan in the next two to four months.

"I like (a) two-state solution," Trump said as he posed for photographs with Netanyahu. "That's what I think works best. That's my feeling. Now, you may have a different feeling. I don't think so. But I think two-state solution works best."

But Trump was firm in his support for Israel, saying, "We are with you, we are with Israel 100 percent."

His administration has also slashed aid to the Palestinians by hundreds of millions of dollars and ended U.S. support for the U.N. agency that helps Palestinian refugees. One of the reasons for the cutback—some of the money given to the Palestinians is being used to fund terror against Israelis.

"As you know, we were paying them $550 million per year. Now, we're paying them nothing a year. Because we were, for years, we were being abused by the leadership of the Palestinians and giving them all of this money. So, now we're not. But that will start up again, and I look forward to it because they use it for some purposes that are good and some purposes that are not good and not acceptable."

Netanyahu thanked Trump for his support of Israel's right to defend itself in a dangerous part of the world.

Netanyahu said, "I think the American-Israeli alliance has never been stronger. It's stronger than ever before under your leadership. And I look forward to working with you and your team to advance our common interests: security, prosperity and peace with Israel's neighbors and with the region."

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