Israel approves settler building plans in Palestinian West Bank city - Headlines news and analysis from Global Banking & Finance Review
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Israel approves settler building plans in Palestinian West Bank city

Published by Global Banking & Finance Review

Posted on June 17, 2026

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· Last updated: June 17, 2026

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Israel approves settler building plans in Palestinian West Bank city

Israeli Settlement Expansion in Hebron: Details and Reactions

By Ali Sawafta and Dedi Hayun

Approval of Jewish School Expansion

HEBRON, West Bank, June 17 (Reuters) - Israel on Wednesday approved the expansion of a Jewish school for settlers living in the centre of the Palestinian city of Hebron in the occupied West Bank, in a construction push that Palestinians say violates a decades-old agreement.

Israel's finance minister announced the plans a day after saying he had scrapped a deal that gave the Palestinian municipality control over certain planning and construction around Hebron's historic core, home to a flashpoint holy shrine. 

The Cave of the Patriarchs and Hebron Agreement

The enclave around the Cave of the Patriarchs — revered by Muslims, Jews and Christians — is home to more than 1,000 Jewish settlers who live among tens of thousands of Palestinians under complete Israeli security control. 

Under the 1997 Hebron Agreement, Israeli troops remain deployed in the area but construction has generally required approval from the Palestinian municipality, including around the shrine.

Religious and Political Motivations

The religious heritage of the city has made it a focal point for Israeli settlers, who are determined to expand the Jewish presence. Bezalel Smotrich, Israel's far-right finance minister, said construction of a 1,000-square-metre building for a Jewish school in Hebron's historic core had been approved.

"We are continuing to build the Land of Israel in practice and to implement practical sovereignty in the settlements," Smotrich, who has said he wants to bury the idea of Palestinian statehood, said in a statement.

Palestinian and International Responses

Palestinian Concerns and International Law

PALESTINIAN ACTIVIST SAYS ISRAEL AIMS TO FORCE THEM OUT OF HEBRON

U.N. bodies and most countries consider Israel's settlements in territory Israel captured in a 1967 war to be illegal under international law. Palestinians view the settlements as a primary obstacle to peace, depriving them of land they want for a future state.

Israel rejects this, viewing the territory as disputed and saying a Jewish presence has existed there for thousands of years.

Recent Policy Changes

Smotrich's building announcement comes after Prime Minister Benjamin Netanyahu's security cabinet approved steps earlier this year to make it ​easier for settlers to buy land in the West Bank and give Israeli authorities more enforcement powers in the territory.

Palestinian officials said the security cabinet steps amounted to de facto annexation of West Bank land by handing powers long held by the military to Israel's civilian government. 

Impact on Palestinian Residents

Issa Amro, a Palestinian activist who lives in Hebron, said he feared Israel's dismantling of parts of the Hebron Agreement would leave Palestinian residents of the city without basic services.

He said that move was aimed at making life miserable for Palestinians and forcing them to leave. 

"It means ethnic cleansing of Palestinian families from their homes, and more displacement," he said, describing Israel's actions as stealing Palestinian dreams to have a state "and to live without violence, without fear, with peace".

Jewish Settler Reactions

Jewish residents of Hebron welcomed Smotrich's announcement, saying it would remove what they described as the "burden" of a Palestinian municipality that had tempered their expansion. 

"The excitement is great and the understanding that from here we're expanding and growing," said Eyal Gelman, head of Israel's council for settlers in Hebron. 

"And with God's help, Hebron of 50 years from now — much more Zionist, national, Jewish, expanding, built all across the areas of the city of patriarchs, Hebron."

Strategic Implications of the Building Plans

Creating 'Facts on the Ground'

SMOTRICH SAYS NEW BUILDING PLANS CREATE 'FACTS ON THE GROUND'

Hebron, dotted with Jewish settlements, is a microcosm of the occupied West Bank, where the Palestinians have limited self-rule over islands of territory surrounded by areas of Israeli control.

The Israeli military-controlled area of Hebron includes settlements and the Cave of the Patriarchs, believed to be the burial place of biblical figures Abraham, Isaac, Jacob and their wives. 

Muslims call the shrine the Sanctuary of Abraham, where the Ibrahimi Mosque stands. In 1994, a settler killed 29 Muslims in prayer at the site. For much of the year, its prayer area is divided into separate halls for Jews and Muslims. 

Preventing a Palestinian State

Smotrich said the planning approvals for the Jewish school building as well as new homes in Jewish settlements would "create facts on the ground" to prevent the creation of a Palestinian state.

"This is a national move that strengthens our hold on the land," said Smotrich, who since taking office has led the expansion of Israeli settlements across the West Bank.

(Writing by Alexander Cornwell; Editing by Rami Ayyub and Hugh Lawson)

Key Takeaways

  • On June 17, 2026, Israel approved the construction of a 1,000 m² building for a Jewish school in Hebron’s historic core, signaling an intensified settlement policy in a flashpoint area.
  • Bezalel Smotrich announced he had canceled the civil planning and construction powers granted to Hebron’s Palestinian municipality under the 1997 Hebron Protocol, transferring authority fully to Israeli control.
  • Palestinians warn the move violates Oslo‑era accords and effects a dangerous erosion of their municipal autonomy, with activists calling it tantamount to forced displacement and ethnic cleansing.

References

Frequently Asked Questions

What building plans did Israel approve in Hebron?
Israel approved the expansion of a Jewish school for settlers in the centre of the Palestinian city of Hebron in the occupied West Bank.
What is the significance of the Hebron Agreement?
The Hebron Agreement allows Israeli troops to remain in part of Hebron but generally requires Palestinian municipal approval for construction in the area.
How do Palestinians view the new settlement plans?
Palestinians say the plans violate the Hebron Agreement and could lead to ethnic cleansing and displacement of Palestinian families.
Who announced the construction approval?
Israel’s far-right finance minister Bezalal Smotrich announced the approval for a new Jewish school building in Hebron.
What concerns do residents have about the policy change?
Palestinian residents fear losing basic services, more displacement, and increased efforts to force them to leave Hebron.

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