Gaza - An Israeli airstrike on a car in the southern Gaza Strip town of Rafah killed a high-ranking Hamas militant early Thursday, Palestinians and Israeli officials said.

The dead man was identified as Nafez Mansour, 40, who the Israeli military said was involved in the June 2006 cross-border raid in which Israeli soldier Gilad Shalit was snatched.

Shalit is still being held captive and all attempt to negotiate his release have so far come to naught. A girl bystander was injured in the attack.

Earlier, Israeli forces rolled into the eastern territories of Khan Younis city in southern Gaza Strip and began levelling groves, leading to clashes with local gunmen.

No injuries were reported. The incursion came after Palestinian factions Wednesday accepted Egyptian proposals for a ceasefire with Israel.

The Egyptians, who have been mediating between Israel and Hamas, are expected to receive Israel's response next week. (dpa)