Israeli Settlement of Har Homa in southern East Jerusalem (Syuzanna Petrosyan, Neon Tommy)

Israel occupied East Jerusalem during the 1967 conflict and later annexed it in violation of international law.

Israel and the Palestinians resumed direct peace negotiations at the end of July with the aim of reaching an agreement within nine months. However, Israel's refusal to fully stop construction plans on land the Palestinians want for a future state has overshadowed the talks.

Issuing permits is one of the last stages before construction begins, with building likely to start in the coming weeks.

Read more at Reuters.

Reach Executive Producer Syuzanna Petrosyan here. Follow her on Twitter.