Canada says it will recognise a Palestinian state if certain conditions are met
Mark Carney's announcement comes a day after in September unless Israel meets certain conditions.
to announce the move last week - while Ireland, Spain and Norway all officially recognised a Palestinian state last year.
Mr Carney told reporters in Ontario on Tuesday that Canada would do the same on certain conditions - including that the Palestinian Authority commits to fundamentally reforming its governance and to hold general elections in 2026 in which Hamas can play no part.
Following the announcement, the Israeli foreign ministry said in a statement: "The change in the position of the Canadian government at this time is a reward for Hamas and harms the efforts to achieve a ceasefire in Gaza and a framework for the release of the hostages."
A White House official later anonymously told Reuters that US President Donald Trump also believes he would be "rewarding Hamas" if he recognises a Palestinian state and therefore doesn't plan to do so.
"President Trump's focus is on getting people fed (in Gaza)," the official added.
Mr Carney said during his news conference that he spoke with Mahmoud Abbas, the president of the Palestinian Authority, on Wednesday.
The Canadian prime minister also said he "condemns the fact Israel has allowed a catastrophe to unfold in Gaza".
He added that the possibility of a "two state solution" is being "eroded before our eyes" and that Canada is "trying to ensure, with partners, that a two-state solution becomes viable".
Mr Carney also said: "We are working ourselves with others, to preserve the possibility of a two-state solution, to not allow the facts on the ground, deaths on the ground, the settlements on the ground, the expropriations on the ground, to get to such an extent that this is not possible."
Read more:Children 'eating out of piles of garbage' as time runs out for Gaza
British Prime Minister Sir Keir Starmer announced the UK could recognise a Palestinian state on Tuesday after he had a meeting with Mr Trump the previous day.
Sir Keir said the conditions Israel would have to meet in order to avoid such a move included taking substantive steps to end the "appalling situation in Gaza" and agreeing to a ceasefire.
Some 38 members of the House of Lords, including some of the UK's most eminent lawyers, have since written to the attorney general to say that recognising a Palestinian state could be a breach of international law, The Times has reported.
They have said the territory may not meet the criteria for statehood under the Montevideo Convention, a treaty signed in 1933.
Meanwhile, a Downing Street spokesperson confirmed Sir Keir had spoken to Mr Carney over the phone on Tuesday.
The spokesperson said: "They discussed the grave situation in the Middle East and last night's action by the United States to tackle the severe threat posed by Iran's nuclear programme.
"Both reiterated their support for a diplomatic solution and agreed that Iran must come back to the negotiating table with the United States as soon as possible.
"They looked forward to continuing their discussions at NATO this week."
Gaza's humanitarian crisis
A global hunger monitor has warned that a worst-case scenario of famine is unfolding in Gaza.
The Gaza health ministry reported seven more hunger-related deaths on Wednesday, including a two-year-old girl with an existing health condition.
The Hamas-run government media office in Gaza said the Israeli military killed at least 50 people within three hours on Wednesday as they tried to get food from UN aid trucks coming into the northern Gaza Strip.
US special envoy Steve Witkoff will travel to Israel on Thursday to discuss the next steps to address the situation in Gaza, a US official said.
Mr Trump said earlier this week he expects centres to be set up in order to feed more people in the Palestinian territory.
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