Instead of adding new villages why don't you make the camps into villages. I also recommend removing the feature of getting leves at the city states and instead let us get Dungeon missions at the city-states, and leves at the villages (Camps). Here are some ideas of how I think this idea can work.

~What should Villages have?~
-A Inn for player interaction,leves,behest,monster ambush missions,etc.
-A couple of stores (3~5)
-Extra little perks like a farm, A limited amount of houses.
-A Aetheryte of course.
-A peaceful Music Theme shared by all Villages in the SAME region only please lol.
-Not huge, just a bit more space than current camps.

This would bring much more life to the world