Police said a powerful Improvised Explosive Device concealed in a handcart was triggered off by militants when a paramilitary Border Security Force vehicle neared it on the Srinagar Muzaffarabad road in Baramulla town.

"One civilian identified as Ghulam Nabi Bhat died on the spot while seven civilians passing by at the time of the explosion were wounded. The paramilitary vehicle was damaged in the explosion but no occupant was wounded," said a senior police officer here.

The area was cordoned off and searched by police and army troops but no one was arrested. No group has yet claimed responsibility for the explosion.