Dr Uzi Landau has been speaking as yet another terror attack saw one person killed and several others injured.
A driver rammed his people carrier into pedestrians in east Jerusalem before assaulting a group of people.
Local police shot him dead and have since confirmed it was a terror attack.
The incident came just hours after clashes between Palestinians and Israeli police at a mosque compound, which is holy for both Jewish people and Muslims.
Dr Landau told Premier despite these issues the country remains safe to visit.
He said: "Murder is so much lower than anywhere else but you have those reporting about terror attacks and all of a sudden people get the feeling that Israel is a combat zone.
"Well Israel is a modern country. Israel is a safe country."
Speaking about the clashes at the Temple Mount where police interrupted demonstrations Dr Landau said he didn't expect these clashes to continue much longer: "We are a country of law and order and police will enforce it.
"It'll take an additional few days but this will be in the past."
There's been tension in Jerusalem since the Gaza conflict over the summer, with regular clashes between Palestinians and Israeli security forces.
There's been a further escalation following the shooting of prominent Jewish activist Rabbi Yehuda Glick, who remains in a critical condition.
The Israeli Prime Minister Benjamin Netanyahu is accusing Palestinian President Mahmoud Abbas of inciting his people to carry out attacks in Jerusalem.
Palestinian officials say it's Mr Netanyahu who is fuelling tensions.
Hear a full interview with Dr Uzi Landau in which he speaks to Premier's Marcus Jones about how tourism has suffered because of the Gaza conflict, why Christians are still welcome in Israel and how his country is still pushing for lasting peace in the region: