No it is not a lie, it is a prophecy that will be fulfilled at the proper time.
However the only good thing or bad thing (depending on your point of view) that eventually will come out of the enlarged fleshly Jewish state is the eventual rebuilding of the Jewish temple, which the Jews make no secret of wanting to do. But to rebuild the Jewish temple a thirteen hundred year old mosque has to be demolished. Can you imagine the Muslims anger and upheaval in the world that its forced demolition will cause? It may well be the trigger that begins the great tribulations foretold in the Book of Revelation. But the zealous Jews, with the support of the sympathising Christians, will some how get their way, because religious groups can influence the rulers of the day. Remember Pilate the Roman governor, and how he was forced to abandon the obvious righteous judgement in order to please them?
Consequently, one day they will rebuild the temple, which in turn will lead to the revelation of the false Christ (or antichrist). The false Christ will be received as the Messiah by the fleshly Jews because, as you know, the fleshly Jews are still waiting for the Christ and he will display himself in the rebuilt temple as being God. Having great power he will deceive many of the sympathising Christians, even the elect if it were possible. Sadly from what I hear preached in the Pentecostal churches and by the televangelists, the deception of gullible Christians and the world has already began.