Bethlehem is a city in the Israeli-occupied West Bank of the State of Palestine, located about ten kilometres south of Jerusalem. It is the c…Bethlehem is a city in the Israeli-occupied West Bank of the State of Palestine, located about ten kilometres south of Jerusalem. It is the capital of the Bethlehem Governorate, and has a population of approximately 25,000 people. The city's economy is largely tourist-driven; international tourism peaks around and during Christmas, when Christians embark on a pilgrimage to the Church of the Nativity, revered as the location of the Nativity of Jesus.