The Saudi decisions reflect the Kingdom's strong support to the Palestinian cause and hopefully would lead to the realization of the dream for an independent Palestine state within the 1967 borders and Eastern Jerusalem as the capital for the future country, said OIC chief.
Saudi Arabia, which takes over the rotating chair of the Arab summit from Jordan, announced that this gathering would be named the "Quds (Jerusalem) Summit", a reference to US President Donald Trump's decision past year to recognize Jerusalem as the capital of Israel, which Arab states condemned.
And despite being a stalwart ally of the United States, the ruler criticised US President Donald Trump controversial decision to transfer America's embassy from Tel Aviv to occupied Jerusalem.
The two rivals are engaged in proxy wars in Yemen and Syria but also back opposing sides in Lebanon, Iraq and Bahrain.
"We strongly condemn the terrorist acts carried out by Iran in the region and reject its blatant interference in the internal affairs of the Arab countries", he said.
The AL strongly opposes the US administration's recognition of Jerusalem as the Israeli capital and decision to move its embassy from Tel Aviv to Jerusalem, wishing all the countries not to follow the USA measures to harm Arab states' sovereignty.
The administration of Trump has recognised Jerusalem as the capital city of Israel and declared to the U.S. embassy to be located in Jerusalem.
"East Jerusalem is an integral part of the Palestinian territories", he stressed.
Sixteen Arab leaders are attending the 29th summit, which comes one day after the U.S., France and Britain launched a joint airstrike in Syria in the wake of a suspected chemical attack by regime forces.
Iran is backing Houthi rebels that Riyadh opposes in Yemen and on Sunday Salman praised "the UN Security Council's statement denouncing the Iranian-made ballistic missile fire on Saudi cities".
Riyadh expressed its support for the strikes on Damascus in a statement on Saturday.
In response, Saudi Arabia renamed this year's summit "Quds [Jerusalem] Summit". Bashir is wanted by the International Criminal Court for five counts of crimes against humanity, three counts of genocide and two counts of war crimes.
Syrian President Bashar al-Assad, whose government has denied using or possessing chemical weapons, was not present at the meeting after the country was suspended from the group in 2011.
Summits of the Arab League, established in 1945, rarely result in action.
The Gulf states have donated large amounts of money to help refugees from the country but have not officially offered them asylum.