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| There is still lots of confusion in the area, a local resident told the BBC |
Belgian and French police are said to be still hunting two men after shots were fired at police during a counter-terrorism raid in Brussels.
Four officers, all said to be Belgian nationals, were wounded. Streets in the suburb of Forest have been sealed off .
One suspect was shot dead, but two others are said to be still at large.
The raid is linked to the Paris attacks which killed 130 people last November. Islamic State (IS) militants have claimed responsibility for the attacks.
Schools in lockdown
Police said earlier on Tuesday they were pursuing at least two suspects who had escaped over rooftops.
Eric Van Der Sypt, a spokesman for the federal prosecutor, told AFP news agency that "police were fired at" during the raid on Tuesday afternoon. He added that the raid was "linked to the Paris attacks investigation".
A major police operation was launched, with a helicopter flying overhead.
"Two individuals apparently barricaded themselves inside a home,'' Forest mayor Marc-Jean Ghyssels told reporters.
Local media later reported that the police surrounded a flat and one of the suspects was shot dead in an exchange of fire. But two others are still on the run.
The prosecutor's spokesman later confirmed that a suspect had been killed. His identity was not yet known, although he emphasised that the man was not Paris attacks suspect Salah Abdeslam.
The BBC's Damian Grammaticas at the scene earlier said the whole area was flooded with police, and every access road was blocked.
Two local schools with about 100 children were in lockdown, Euronews reporter Sandor Sziros told the BBC.
French Interior Minister Bernard Cazeneuve confirmed that French police officers were also taking part in the Brussels raid.
The incident happened near railway lines used by high-speed trains to London and Paris.
Since the 13 November attacks, officials have identified most of the people they believe to have carried out the assaults.
Most of the suspects have either died during the attacks or been killed in later police raids.
But two suspects - Salah Abdeslam and Mohamed Abrini - are still on the run.
However, French police sources said that Abdeslam was not the target of Tuesday's raid.
In addition, 11 people have been arrested and charged in Belgium in connection with the killings. Another eight are still in detention.
Parts of Brussels were sealed off for days after the Paris massacre amid fears of a major incident. A number of suspected attackers lived in the Belgian capital.
Police have also carried out a series of raids in the city.
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