The attack marks the fourth shooting in Jerusalem this month in which an alleged Palestinian attacker has been killed
Three Israelis were allegedly stabbed by two Palestinian men outside of Jaffa Gate in Jerusalem’s Old City on Wednesday.
Israeli border police guards shot both of the alleged attackers, killing one and critically wounding the other.
Several videos emerged in the aftermath of the attack showing security officials and medics surrounding two bodies on the ground, although it was not immediately clear whether they were the alleged attackers or the victims.
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Maan News reported that the two Palestinians were identified as Issa Assaf and Anan Abu Habsa from Qalandiya in the occupied West Bank. The area has experienced heightened tensions recently, with two Palestinians killed in the Qalandiya refugee camp last week.
The wounded Israelis were transferred to Shaare Zedek Medical Centre, with Israeli sources describing at least one of them as critically injured.
Chief Superintendent Asi Aharoni told Israeli media that one of the Israelis might have been wounded by gunfire from the border guards.
"The police are very highly trained and skilled, but it is possible that a person was wounded by gunfire," Aharoni told Ynet News. "Nevertheless, thanks to their heroic action they prevented a much more serious attack from taking place."
Following the attack, Israeli authorities closed off the area, the most commonly-used entrance into the Old City by Jewish Israelis and tourists whose visits to the Holy Land increase during the Christmas season.
Earlier on Wednesday, border police arrested a woman in the flashpoint southern West Bank city of Hebron after a knife was found on her during a routine search.
The latest attack is the fourth one to take place in Jerusalem this month which has resulted in Israeli forces shooting alleged Palestinian attackers.
Nearly 130 Palestinians have been killed by Israeli military forces and settlers since violence increased at the beginning of October. Nineteen Israelis were killed in attacks by Palestinian individuals during the same time period.