Israel says its military has approved "offensive and defensive action" plans following an unprecedented aerial attack by Iran, with Tehran warning any retaliation would result in a "much larger response".
It comes amid reports that the United States has told Israel it will not take part in any future counter-attack against Iran and world leaders call for maximum restraint.
Israel said on Sunday local time that it had shot down almost all of the more than 300 drones and missiles launched toward its territory by Iran on Saturday.
Israeli authorities said most of the projectiles were shot down with the help of the US, Britain, France and Jordan.
The missiles and drones had been fired from countries including Iran, Iraq, Syria and Yemen.
An air force base in southern Israel was hit, but continued to operate as normal and a seven-year-old child was seriously hurt by shrapnel. There were no other reports of serious damage.
Iran launched the attack in response to a strike widely blamed on Israel on an Iranian consular building in Syria earlier this month which killed two Iranian generals.
"We intercepted, we repelled, together we shall win," Israeli Prime Minister Benjamin Netanyahu said on X.
After an extended meeting of Israel's war cabinet on Sunday, Israel Defense Forces (IDF) spokesperson Rear Admiral Daniel Hagari said Iran's plans had "failed".
"We are still on high alert and assessing the situation. Over the last few hours we approved operational plans for both offensive and defensive action," he said in a televised statement, without offering further detail.
The Islamic Republic's mission to the United Nations said its actions were aimed at punishing "Israeli crimes", but that it now "deemed the matter concluded".
Iranian army chief of staff Major General Mohammad Bagheri warned on television that "our response will be much larger than the initial military action if Israel retaliates against Iran" and told Washington its bases could also be attacked if it helped Israel retaliate.
Iranian Foreign Minister Amir Abdollahian said Tehran had informed the US its attack on Israel would be "limited" and for self defence.
He said Israel's neighbours had also been informed of its planned strikes 72-hours in advance.
World responds to Iranian attack
US media reported on Sunday local time that US President Joe Biden had informed Mr Netanyahu that America would not participate in retaliatory action against Iran. The remarks made in a phone call between the pair were confirmed to Reuters by a White House official.
Biden administration spokesman John Kirby said on NBC's Meet the Press that repelling the mass drone attack had been a "incredible military achievement" by Israel and its partners, and had shown how Israel is not isolated on the world stage.
"Now, whether and how the Israelis will respond [to Iran], that's going to be up to them. We understand that and respect that. But the [US] president's been very clear: we don't seek a war with Iran," Mr Kirby said.
Leaders of the G7 nations condemned Iran's attack on Israel and said on Sunday that they would work to try to stabilise the situation in the Middle East.
The G7 groups the US, Canada, Italy, Britain, France, Germany and Japan, as well as the European Union.
"With its actions, Iran has further stepped toward the destabilisation of the region and risks provoking an uncontrollable regional escalation. This must be avoided," a statement issued by G7 president Italy said after the video conference.
"We will continue to work to stabilise the situation and avoid further escalation. In this spirit, we demand that Iran and its proxies cease their attacks, and we stand ready to take further measures now and in response to further destabilising initiatives."
The statement also pledged to work "towards an immediate and sustainable ceasefire" in Gaza and to deliver "increased humanitarian assistance to Palestinians in need".
Global powers Russia, China, as well as Arab states Egypt, Qatar and the United Arab Emirates all urged restraint.
German Chancellor Olaf Scholz told reporters during a visit to China that "we will do everything to stop a further escalation."
"We can only warn everyone, especially Iran, against continuing this way," he said.
Türkiye also warned Iran it did not want further tension in the region.
Israeli airspace was reopened on Sunday morning local time after closing because of the Iranian aerial assault.
Ceasefire deal rejected
The office of Mr Netanyahu released a statement on Sunday saying Hamas had rejected the latest proposal for a ceasefire.
The deal had been presented to Hamas a week ago by mediators Qatar, Egypt and the US.
A Hamas official said the group wants a "clear written commitment" that Israel will withdraw from Gaza during the second of a three-phase ceasefire deal.
The deal presented to the sides calls for a six-week ceasefire in Gaza, during which Hamas would release 40 of the more than 100 hostages the group is holding in the enclave in exchange for 900 Palestinian prisoners from Israel's jails, including 100 serving long sentences for serious crimes.
Hamas welcomed Iran's attack, saying it was "a natural right and a deserved response" to the strike in Syria.
It urged the Iran-backed groups in the region to continue to support Hamas in the war against Israel.
Reuters/AP/ABC
