It urged the council to “distance” the city from “condoning or tolerating the human rights violations, of some participating countries”.
Russia, Israel and China were listed as human rights violators, for acts such as “persecution of gay people, denial of the rights of indigenous ethnic peoples, and the imprisonment of opposition thinkers”.
Mr Wolfson said: “The International Festival for Business is all about Liverpool being open to investors from all over the world.
“I believe it is important Liverpool has strong links with Israel. We help Liverpool business trade and invest with Israel.”
The festival is due to take place in June and July this year.