Israel has approved the construction of 566 settler homes in east Jerusalem, AFP reports on Sunday citing officials.
The expansion was confirmed on Sunday by the Jerusalem Municipality.
The move comes just two days after US President Donald Trump, who has vowed support of the state, took office.
Israel annexed east Jerusalem during the 1967 Six Day War, in a move which has never been formally recognised by the international community.
The city is claimed by both Palestinians and Israelis as their capital.
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