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Thousands of rockets have been fired into Israel from the Gaza Strip in a surprise attack by the Hamas militant group on Saturday morning.
Large plumes of black smoke could be seen rising from a number of Israeli towns.
Social media images showed cars on fire and damaged buildings, and the Israeli ambulance service reported one woman had been killed and at least 15 others wounded.
Phone footage also showed Hamas fighters attempting to reach Israel on small boats, and in a highly unusual development, a number of fighters appeared to have crossed the border using paragliders, reaching the town of Sderot where gun battles were heard.
Footage from security cameras showed them entering the city in pick-up trucks and motorbikes.
Air raid sirens sounded across southern and central Israel, and there were explosions in the cities of Tel Aviv, Ashkelon, Yavne and Kfar Aviv.
Israel’s Magen David Adom rescue agency said a 70-year-old woman had been critically injured when a rocket hit a building in southern Israel.
Elsewhere, a 20-year-old man was hurt by rocket shrapnel, it said.
Israel said it was attacking targets in the Gaza Strip and the Israel Defense Forces (IDF) warned “the Hamas terror group will pay a very heavy price”.
The Israeli military said “a number of terrorists have infiltrated into Israeli territory” and residents along the border area have been told to stay indoors.
“The military declares a state of war alert,” it said in a statement, as it ordered people to remain near bomb shelters in their homes.
Israeli defence minister Yoav Gallant authorised the call-up of military reservists, but the exact number has not yet been confirmed.
Mr Gallant is said to be heading to Tel Aviv for an urgent update and Prime Minister Benjamin Netanyahu has convened an emergency meeting of his security cabinet.
Hamas military commander Mohammad Deif said 5,000 rockets had been launched in Saturday’s attack.
“This is the day of the greatest battle to end the last occupation on earth,” he said on Hamas radio.
He said the rocket barrage was the beginning of “Operation Al Aqsa Storm” and in response to Israeli violence in the West Bank, Gaza, and around Al Aqsa mosque compound in Jerusalem.
Palestinian Islamic Jihad militant group said it had joined the attack, while Hamas also called on armed groups in Lebanon to get involved.
The attacks come after weeks of heightened tensions along Israel’s volatile border with Gaza, and heavy fighting in the Israeli-occupied West Bank.
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