JERUSALEM, July 14 (Reuters) - Israel's security cabinet approved a budget of 1.3 billion shekels ($434 million) for establishing 34 new settlements in the occupied West Bank, right-wing Finance Minister Bezalel Smotrich said on Tuesday, adding to tensions over territory widely viewed as central to a potential Palestinian state.U.N. bodies, Palestinians and most countries view the settlements as illegal under international conventions - a stance disputed by Israel - and a primary obstacle to peace.

Israel signed an 8.5 billion-shekel ($2.3 billion) framework agreement to expand illegal settlements in the occupied West Bank, including the construction of 12,000 new housing…

The new plan will bring the total number of West Bank settlements established under the current government to 103.