(AFP) -- The attack, which came as US envoy Jason Greenblatt was in Jerusalem for talks on relaunching the moribund Middle East peace process, drew condemnation from Israeli officials who demanded action from the Palestinian leadership.

Police later said the Palestinian had died of his wounds.

An AFP correspondent saw a heavy police presence around Har Adar, a well-to-do settlement northwest of Jerusalem high in the hills close to the Green Line that separates the occupied West Bank from Israel.

The shooter was identified by police as a 37-year-old man from Beit Surik, a Palestinian village near Har Adar, who carried a work permit for the settlement.

As he approached the checkpoint at the entrance, he aroused the suspicion of security forces, who ordered him to halt, police said.

He then pulled out a pistol and opened fire on border police and civilian security guards, before being shot.

Israel's Shin Bet internal security service said the shooter was a father of four with no previous "security background".

(Photo: AFP)