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Israel's president has cancelled the appearance of a local pop star at a high-profile public event following the star's release of a new song focusing on a fictional Arab who gets his kicks by stabbing Jews.

The office of President Reuven Rivlin said it is cancelling its invitation for Amir Benayoun to perform at next week's event marking the expulsion and exile of Jews from Arab countries and Iran.

The office said the sentiments expressed by Benayoun in the song Ahmed Loves Israel are "inconsistent with the responsibility required of the president's residence".

The song tells of a fictional Arab named Ahmed who wants to "send to hell a Jew or two" despite his moderate appearance.

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