No one was injured in the explosion, which reportedly struck a construction site near to a residential area after midnight in the southern Israeli city of Eilat.
Israeli intelligence reported that the rocket is believed to have been launched from Egypt’s Sinai Peninsula, a region in which Israel fought a bloody war in the 1970s.
It is not yet known who fired the Katyusha rocket.
The region has been on high alert because of the forthcoming Passover holiday, but major Meir Yitzhak-Halevy said the resort would carry on as normal.
Many overseas tourists are already in the city and the resort is due to welcome more than 4,000 athletes for the European Triathlon Championships, which will begin on April 19.
Eilat has long been a popular destination for Brits, particularly during the winter.
However, as Israel’s relationship with neighbouring Egypt continues to deteriorate following the ousting of ex-president Hosni Mubarak last year, and Egypt’s difficulty policing the volatile Sinai region, many expect future attacks in the area.
Israel has built a huge wall snaking across the entire border with the Sinai region, but it is still under construction.
However, although the wall prevents potential terrorists entering Israel, it does nothing to prevent rockets from being fired over it.
Credit Getty Images
