It's a matter of international law. Even Italy does not demand to be recognized as a Roman Catholic state, because that statement delegitimizes her non-Catholic population. The US does not officially acknowledge Israel as a Jewish state, for the same reason. In fact, over the decades, Israel has never made this demand, before very recently. It's another smoke-screen, nothing more.
Guatemala judge orders former President Otto Perez Molina detained for hearing in fraud scandal (AP)