UNITED NATIONS - The European Union (EU) on Monday called on Israel to put a full end to the construction of settlements in the occupied territory, saying that "settlements in occupied territory are illegal under international law."

Related readings:  China urges a halt of Israeli settlement constructions  US writing assurances for Israel to resume talks  Obama lauds Israel's settlement freeze proposal  Abbas says settlements block Mideast peace deal

The statement came as the permanent representative of Belgium to the United Nations, Jan Grauls, was speaking on behalf of the EU at a UN meeting to mark the International Day of Solidarity with the Palestinian People.

"Settlements in occupied territory are illegal under international law, constitute an obstacle to peace and threaten to make a two-state solution impossible," Grauls said. "We reiterate our call on Israel to end all settlement activities, including in East Jerusalem."

The settlement activities have derailed the direct talks between Palestinians and Israelis, the first in 19 months when they met in Washington in early September.

EU High Representative Catherine Ashton visited the region in the beginning of October to discuss with the Palestinian Authority the work it is doing to build the institutions for statehood.

"The EU takes note of the assessment made by the World Bank, which stated that if the Palestinian Authority maintains its current performance, it is well-positioned for the establishment of a state at any point in the near future," Grauls said.

Grauls said that the EU stresses the "crucial importance" of the continuation of the Palestinian State building process, which the EU will continue to actively support.

The EU welcomed recent measures taken to ease restrictions on movement in the West Bank and entry goods into Gaza, and "stresses the need for further steps to be taken in this regard," according to Grauls.

The EU also called for the full implementation of Security Council resolution 1860, the full respect of international humanitarian law and for an immediate, sustained and unconditional opening of crossings for the flow of humanitarian aid, commercial goods and persons to and from Gaza including goods from the West Bank, Grauls said.