Israeli Interior Minister Eli Yishai authorized the construction of thousands of new housing units in Jerusalem, half of which are to be built beyond the Green Line, the Israeli daily (Yediot Ahronot ) reported Thursday. Yishai has reportedly green-lighted the construction of 1,600 housing units in the northeastern neighborhood of Ramat Shlomo alone. Another plan will see 700 new housing units built in the adjacent neighborhood of Pisgat Zeev. A third, 2,000-unit project is planned for Givat HaMatos, which is also beyond the Green Line. Sources in the Interior Ministry said that Yishai views the projects as one of the solutions to Jerusalem''s housing plight. Both the US and the EU denounced the decision: The State Department said it was "deeply concerned" by the move and urged Israel to avoid "unilateral moves which would hinder the peace process"; while EU Foreign Policy Chief Catherine Ashton said she was "deeply disappointed" by the decision.