Despite the eruption of violence and a deadly incident on a contested holy site in Jerusalem, Israel on Wednesday gave its approval for 78 new settlements on West Bank territory.

The approval of the new homes could further damage Israel's ties with Palestine and likely rile up the latter because the settlements are located on land that was annexed to Jerusalem, according to The Huffington Post.

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"These decisions are a continuation of the Israeli government's policy to cause more tension, push towards further escalation and waste any chance to create an atmosphere for calm," Nabil Abu Rdainah, Palestinian leader Mahmoud Abbas' spokesperson, said of the approval.

A municipal spokesman announced that the municipal planning committee of Jerusalem gave the green light for the construction of 50 new houses in Har Homa and 28 more in Ramot. For Israel, these locations are part of Jerusalem's territory.

In the last few weeks, Jerusalem has been plagued by violence arising from an dispute about access to a contested site considered sacred by both Muslims and Jews. Earlier this week, two Palestinians attacked a synagogue in Jerusalem, leaving one policeman and four rabbis dead.

Palestinians have already expressed their vehement disapproval at Israel's plans to construct 4,000 new settlements on the said West Bank territory. They aim to establish their own state in East Jerusalem - an area that Israel captured in 1967 and includes the Gaza Strip and the West Bank.

For Palestinians, they are afraid that Israel will not allow them to have their own territory near the border.

The United States and the European Union, on the other hand, think the settlements are illegal and have criticized Israel for the decision.

The sensitivity of the present situation in Jerusalem further complicates Israel's goal to establish peace and decrease tension in the region, U.S. State Department spokesperson Jeff Rathke said. He stressed that Washington is opposed to the construction of new homes in East Jerusalem.

Meanwhile, Israel maintains that Jews can choose to live anywhere in Jerusalem, a city which it still considers as its capital.

TagsIsrael settlement, West Bank settlement, Gaza Strip, Israel-Palestine, Jerusalem