The Bahamas has officially recognised the State of Palestine, the country’s foreign ministry announced on Tuesday.
The Ramallah-based Palestinian Authority welcomed the move.
In a statement, the Bahamas said the Palestinian people have the legal right to "freely determine their political status", joining growing international support for Palestinian statehood.
"Recognition of the State of Palestine strongly demonstrates The Bahamas’ commitment to the principles espoused in the Charter of the United Nations and to the right of self-determination of peoples as articulated in the International Covenant on Civil and Political Rights (ICCPR), and the International Covenant on Economic, Social and Cultural Rights (ICESCR)," the ministry said in a .
"The Bahamas has, in the past, endorsed the two-state solution as clearly articulated in the United Nations Security Council Resolution 242 (1967) on a Peaceful and Accepted Settlement of the Middle East Situation," it added.
The Palestinian Authority's presidency the move, saying the Bahamas was "contributing to the consolidation of the Palestinian people’s right to self-determination on its land and for taking practical steps to support the implementation of the two-state solution".
In recent weeks, there have been increasing moves at the United Nations to grant Palestine full membership of the world body, although a draft Security Council resolution regarding this was vetoed by the US.
The UN General Assembly is set to vote this Friday on another draft resolution that could qualify Palestine to become a full member the UN and recommend that the Security Council "reconsider the matter favourably".
An application to become a full UN member needs to be approved by the 15-member Security Council, however, and then the General Assembly.
The Bahamas said that the establishment of an independent Palestinian state, as well as the recognition of East Jerusalem as its capital would "ultimately to achieving peace and stability in the Middle East."
Other neighbouring Caribbean countries such as Jamaica, Barbados, Trinidad and Tobago had previously declared their recognition of Palestine in the past month, amid the brutal Israeli war on Gaza which killed at least 34,844 people since last October.
Moves to recognise Palestinian statehood comes as Israel continues to push its military offensive deeper into Gaza.
Israel sent tanks into Rafah in southern Gaza on Tuesday, seizing the border crossing with Egypt and exacerbating the humanitarian crisis in the territory.
The thrust into the eastern sector of Rafah, packed with displaced civilians, came as negotiators and mediators met in Cairo in another effort to forge a hostage release and truce in the seven-month conflict.
Agencies contributed to this report.