Palestinian President Mahmud Abbas called on Israel on Wednesday to abandon plans to build new settlements in the West Bank.

"I call upon the Israeli government not to throw away the chance to reach peace, and to discontinue settlement construction activity...and to give the efforts of American mediators a chance," Abbas said at a joint press conference with U.S. Vice-President Joe Biden

Biden has already condemned plans for building new Jewish settlements in Palestinian territories and called them "steps, which undermines trust".

The Palestinian national authorities recently agreed to hold indirect talks with Israel mediated by the United States after a 15-month break.

At the same time the Israeli government announced plans to build 1,600 new housing units in East Jerusalem.