Police investigating Israeli Prime Minister Benjamin Netanyahu have recommended to Israel's Attorney-General that he be charged with bribery in two cases.

Key points: Benjamin Netanyahu denies any wrongdoing

Benjamin Netanyahu denies any wrongdoing Police allege PM received gifts from businessmen over years

Police allege PM received gifts from businessmen over years James Packer mentioned in one case

James Packer mentioned in one case Israeli PM says police on a witch hunt

Mr Netanyahu, who denies wrongdoing, has been questioned several times since the start of 2017.

One of the two cases involves the receipt of gifts from businessmen, and the other is related to conversations Mr Netanyahu is alleged to have held with an Israeli newspaper publisher about limiting competition in the news sector in exchange for more positive coverage.

Australian billionaire James Packer is among those mentioned in one of the cases.

A police statement said there was sufficient evidence against Mr Netanyahu on suspicion of "fraud and breach of trust in connection with the Australian businessman James Packer".

However, Israeli police have not recommended charging Mr Packer.

They have recommended charges against the other businessman named in the case, Arnon Milchan.

In a televised address, a stern-looking Mr Netanyahu said the recommendations against him were baseless and that he would "continue to lead Israel responsibly and faithfully".

He said his lengthy political career has been solely "for the good of the nation", and accused police of being on a witch hunt against him.

The Prime Minister wrapped up by vowing to stay in office and run for re-election.

Police can make only a recommendation; the final decision to indict rests with the Attorney-General.

The process that could take weeks or even months.

Space to play or pause, M to mute, left and right arrows to seek, up and down arrows for volume. Watch Duration: 9 minutes 35 seconds 9 m James Packer reportedly gave lavish gifts to Israeli Prime Minister Benjamin Netanyahu and his family.

Champagne, cigars, jewellery among gifts: police

The recommendations, which police made public on Tuesday night (local time), were at the more serious end of the range of charges that had been expected to be levelled against Mr Netanyahu, now in his fourth term.

The investigations have gone on for more than a year.

One of the cases, known as Case 1000, alleges the "committing of crimes of bribery, fraud and breach of trust by the Prime Minister, Mr Benjamin Netanyahu".

In a detailed statement, police named Milchan, a Hollywood producer and Israeli citizen, and Mr Packer, saying that they "over years awarded gifts of various types", including champagne, cigars and jewellery to Mr Netanyahu and his family.

In all, the gifts were worth more than one million shekels ($356,000), the statement said.

Mr Netanyahu's lawyers have said the presents were simply tokens of friendship and no favours were given in return.

The second, Case 2000, also alleges "bribery, fraud and breach of trust by the Prime Minister" and by the publisher of the biggest-selling Israeli newspaper Yedioth Ahronoth, Arnon Mozes.

The two men, police say, discussed ways of slowing the growth of a rival daily newspaper, Israel Hayom, "through legislation and other means".

Reuters/ABC