Saudi Arabia has suspended talks on potentially normalizing ties with Israel, a source told AFP on Saturday, amid the war raging between Israel and the Palestinian militant group Hamas.

Hamas launched a large-scale attack on Israel on October 7 which killed 1,300 people, sparking a retaliatory bombing campaign that has killed at least 1,900 in the Gaza Strip ahead of a potential Israeli ground invasion of the territory.

"Saudi Arabia has decided to pause discussion on possible normalization and has informed US officials," a source familiar with the discussions told AFP.

Saudi Arabia in the weeks before the attacks had spoken of progress in US-led diplomacy to normalize relations with Israel — which would be a landmark step for the conservative kingdom that is guardian of Islam's two holiest sites.

But Riyadh has voiced increasing disquiet about the fate of Palestinians in the Hamas-controlled Gaza Strip, where Israel has launched thousands of strikes and ordered the evacuation of the territory's north, prompting thousands to flee.

On Friday, Saudi Arabia denounced the displacement of Palestinians within Gaza and attacks on "defenseless civilians", its strongest language criticizing Israel since the war broke out.

Riyadh "affirms its categorical rejection of calls for the forced displacement of the Palestinian people from Gaza, and its condemnation of the continued targeting of defenseless civilians there," the foreign ministry said in a statement.