Israel announces plans for 884 more houses in Occupied Jerusalem

Occupied Jerusalem: Israel plans to build 884 more houses east of Occupied Jerusalem, an area which Palestinians want as capital of their future state.

A ministry spokesman said 763 of the housing units will go up in Pisgat Zeev and 121 housing units in Har Homa, both predominantly Jewish neighbourhoods.

Israel and the Palestinians are holding peace talks that include discussions on the future of east Occupied Jerusalem.

Israel says it will retain Jewish neighbourhoods there under any agreement, but Palestinians say new construction badly compromises the talks.

With this latest development, the total number of new Jewish housing units lies at 2,000.