Isis has claimed responsibility for a suicide bomb attack near the Iraqi embassy in Afghanistan's capital, Kabul.
The group confirmed it was behind the attack via its Amaq news agency.
It said two members of the "the Islamic State attacked the Iraqi embassy building in the Afghan city of Kabul", AFP reported.
At least four explosions, along with sounds of gunfire and grenades, could be heard near the city's diplomatic quarter shortly after 11.00 am local time.
Officials confirmed one explosion. It is not clear yet whether the attack has caused any casualty.
A security source told AFP that a suicide bomber had blown himself up outside the embassy. The source, who spoke on conditions of anonymity, said "civilians are being evacuated" from the area as the attack was ongoing.
Afghan interior ministry spokesman Najib Danish, was quoted by Reuters as saying: "Our forces are inside and a clearance operation is underway."
He added that the embassy personnel were safe, but there could be casualties among embassy guards and nearby civilians.
The attack took place in a business district near a police compound and the embassy.
The Isis-claimed bombing is the latest of a series of attacks that have rocked Kabul in recent months.
Earlier in July, at least 26 people were killed and another 42 wounded when a car laden with explosives rammed into a bus carrying government employees in Kabul.
Taliban insurgents claimed responsibility for the deadly bombing.
The Interior Ministry called the attack "a criminal act against humanity".
In May, a truck bomb attack killed at least 150 people and wounded more than 450 in the capital, in what was labelled as the deadliest single attack to target Afghanistan since the 2001 US-led invasion.
The truck bombing sparked protests in the capital, with people calling for more security. The rallies turned deadly, and between two and eight people were killed during clashes with police.
The Taliban, a Sunni fundamentalist political movement, took control of Afghanistan in 1996, imposing a strict version of Islam and persecuting anyone who would not abide by their laws.
Although Taliban rule ended in 2001, the insurgents still control some swathes of the country.
Isis, which is losing territory in both Syria and Iraq due to counter-offensives in both countries, is fighting to establish a foothold in Afghanistan.
In June, the militants reportedly seized a mountain redoubt, known as Tora Bora, in the Nangarhar Province, following week-long fighting against the Taliban.
Residents claimed that Isis took control of Tora Boraafter the Taliban fled, without fighting to maintain control of the area.
However, the Taliban denied the claims and said they were still fighting against Isis, their rival group in the country.
Both groups have caused havoc with deadly attacks in the country.
In April, some 10 Taliban militants disguised as military personnel killed at least 140 soldiers during an attack at a military base in Mazar-i-Sharif, the capital of Balkh Province.
The attack took place just weeks after Isis militants disguised as doctors stormed the country's largest military hospital in Kabul, killing at least 50.