Gaza's civil defence agency said Friday that Israeli forces have begun pulling back from parts of the territory, particularly in Gaza City and Khan Younis.

"Israeli forces have withdrawn from several areas in Gaza City," said Mohammed al-Mughayyir, a senior official with the agency.

Among the districts troops were withdrawing from were Tel al-Hawa and Al-Shati camp, both of which had seen intense Israeli air and ground operations in recent weeks.

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Mughayyir also said Israeli military vehicles pulled out from parts of the southern city of Khan Yunis.

Residents of several areas of the Gaza Strip also told AFP that the Israeli military appeared to have withdrawn from positions that they held on Thursday.

Israel government spokeswoman Shosh Bedrosian told journalists on Thursday that Israel's military would be redeployed to the so-called Yellow Line, as they gradually withdraw under a plan proposed by US President Donald Trump.

During this first part of the withdrawal process, the military will still hold about 53 percent of the Gaza Strip.

Mughayyir said that fighting was ongoing.

"Gunfire has not stopped at all until this moment. The Israeli army also targeted Gaza municipality crews north of (Gaza City's) Sheikh Radwan neighbourhood", Mughayyir said, adding that one city worker had been killed by Israeli fire.

Mughayyir told AFP that another man was killed by Israeli fire in Khan Yunis Friday.

Mahmud Bassal, civil defence spokesman, said Israeli fighter jets were flying low over Gaza on Friday.

Bassal said his teams reported air strikes and artillery shelling in the north, particularly in Gaza City where the Israeli military had launched a major offensive before the ceasefire.

He said Israeli forces also launched smoke bombs in Khan Yunis.

An AFP video journalist filming Gaza from Israel reported large plumes of smoke and dust rising above northern Gaza on Friday morning.

Contacted by AFP, the Israeli military said it was checking reports of bombardments on Gaza.

On Friday, the military said its southern command troops were "in the midst of adjusting operational positions in the Gaza Strip".

Israeli Prime Minister Benjamin Netanyahu's office said early on Friday that the government had approved the framework of a hostage release deal with Hamas.

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