At least two people were killed and 14 injured at around 1 am (local time) on Saturday in downtown Oslo, Norway, when a gunman opened fire outside two nightclubs and a diner, according to a police official.

According to BBC, shots were fired at the London Pub, a popular LGBTQ+ venue, and near the Herr Nilsen jazz club and a takeaway.

The city's annual Pride parade that was scheduled to be held on Saturday has been cancelled following police's advice.

"We will soon be proud and visible again, but today, we will share our Pride celebrations from home," a statement on the Oslo Pride website said.

The police said that "a suspected attacker" has been detained and "the incident is being investigated as a terrorist act."

"The suspect is a Norwegian citizen of Iranian origin. He is charged with murder, assassination attempt and organizing a terrorist attack," Sputnik quoted police spokesman Christian Hatlo as saying.

Prime Minister Jonas Gahr Stoere called the incident a "terrible and deeply shocking attack on innocent people".

"Norway is a community of trust where everyone should feel safe outside on a Saturday night," said Justice Minister Emilie Enger Mehl.

BBC quoted a woman informing a local newspaper that the gunman had taken careful aim at his targets.

"When I understood that it was serious, I ran. There was a man covered in blood motionless on the floor," she said.

(With UNI inputs)