Malaysia, the chair of the 57-member Organisation of the Islamic Conference (OIC), said on Saturday the grouping had agreed to sever ties with Israel over its works at the Al-Aqsa mosque.

Foreign Minister Syed Hamid said OIC foreign ministers had agreed in principle to Malaysia's proposal to cut diplomatic relations at an extraordinary meeting in Saudi Arabia during the week.

"We suggested that Islamic countries having diplomatic relations with Israel sever the ties or recall their ambassadors temporarily to show that we are serious and do not engage in mere empty talk," the Bernama news agency quoted Syed Hamid as saying.

The minister said the OIC's secretary general, Ekmeleddin Ihsanoglu, had been tasked with following up on the proposal.

Malaysia has long been a critic of Israel's policies in the Middle East and does not have diplomatic relations with the Jewish state.

The country earlier this month called on the United Nations Security Council to intervene and put pressure on Israel to halt public works at the Al-Aqsa mosque in Jerusalem that have enraged Muslims around the world.

Malaysia also suggested the OIC seek a resolution from the International Court of Justice in The Hague on Israel's actions, Bernama reported.

Palestinians and Muslims all over the world have angrily denounced Israeli excavations begun on Feb 6, saying they endanger the foundations of the mosque compound, Islam's third holiest site.