A government official said security forces are trying to negotiate to free around 20 people, taken hostage by at least eight gunmen at a crowded restaurant in the capital city Dhaka on Friday night.

The hostage-taking took place at around 9:30 PM local time at a diplomatic quarter in the city. Security forces say Italians and Indians are among the hostages. Meanwhile, Italian state television TV RAI quoted the Italian ambassador to Bangladesh as saying seven Italians were among the hostages.

Several hours after the hostage-taking, the assailants exchanged sporadic gunfire with police. The Islamic State militant group has claimed responsibility for the incident. It also claimed that 24 people inside the building had been killed. However, Bangladeshi police denied it, saying that two police officers had been killed and more than 20 people wounded during the gunfight.