Charlot Salwai was pressed on the issue by Prime Minister Benjamin Netanyahu in a bilateral meeting last week.
The status of Jerusalem is one of the hurdles in the long-running Israel-Palestine conflict, as occupied East Jerusalem is wanted as the capital of any future Palestinian state.
Last year, the United States switched its recognition from Tel Aviv to Jerusalem, a decision that was criticised as a major setback for progress towards any Middle East peace agreement.
Most western countries - including New Zealand - have refused to follow suit.
