Israeli authorities have approved a major expansion of a Jewish settlement in occupied East Jerusalem. The Jerusalem municipality issued permits for 176 new housing units in Nof Zion, which is surrounded by the Palestinian district of Jabal Mukaber. Announcing the expansion of Nof Zion, Jerusalem Mayor Nir Barkat said in a statement that they are reunifying Jerusalem with actions on the ground. <br/><br/>A Palestinian official condemned the move and describing it as a challenge to the international community. Israel regards the whole of Jerusalem as its indivisible capital, while the Palestinians seek East Jerusalem as the capital of a future state.<br/><br/>About 200,000 Jewish settlers and 370,000 Palestinians currently live in East Jerusalem. The settlements are considered illegal under international law, though Israel disputes this.