Several Israeli soldiers were injured in calshes in the south of the Gaza Strip, despite a fragile ceasefire, the Israeli army said on Wednesday.

The Israel Defense Forces (IDF) said "troops encountered several terrorists who emerged from an underground terrorist infrastructure." One soldier was seriously wounded.

The IDF gave no further details about the incident, which reportedly occurred in the Israeli-controlled eastern part of Rafah.

Israeli media reported that dozens of armed fighters from the Palestinian Hamas militia are holed up in tunnels in the area.

Negotiations over their demand for safe passage to areas outside Israeli military control have been rejected.

Residents told dpa on Wednesday evening that they heard loud explosions and gunfire from the area, while Hamas-aligned media in Gaza warned of possible Israeli strikes.

Since the ceasefire began on October 10, there have been repeated deadly incidents in the Gaza Strip, including fatalities among Israeli soldiers. The truce has already come under strain several times.