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A Palestinian youth has died from wounds sustained last week during clashes with Israeli forces along the border of the Gaza Strip said the health ministry on Wednesday.

Ahmed Abu Helo died "as a result of wounds he received last Friday east of Rafah" a statement for the health ministry read, adding that the had been injured in clashes with Israeli forces along the border.

The 19-year old is the latest Palestinian to be killed by Israeli forces since President Donald Trump's announcement to recognise Jerusalem as the capital of Israel and move the US embassy from Tel Aviv to the contested city.

Two Palestinian teenagers were killed by Israeli fire on Saturday as Israeli jets struck the Gaza Strip after four soldiers were wounded in a bomb blast on the border.

The explosion, which occurred earlier on the day, left two of the Israeli soldiers severely injured and marked one of the most serious escalations in the besieged enclave since the 2014 Gaza war.

Since the 6 December announcement, 26 Palestinians have been killed, and two Israelis in cross-border exchanges and clashes with Israeli troops across the West Bank and along the Gaza border.

A series of cross-border exchanges have erupted since, in the most intensive exchange since the 2014 war.

Trump's controversial announcement has undermined the likelihood of a reconciliation, and damaged the already fragile Israeli-Palestinian peace process.

Israel regards Jerusalem as its capital, a position nearly the entire world rejects saying its status should be determined in peace talks with the Palestinians.

Jerusalem is a key issue in the Israeli-Palestinian conflict, and Arab leaders and others have reacted in anger. 

Under international law East Jerusalem is considered occupied Palestinian territory.