At least 26 people were killed and 17 others wounded when gunmen opened fire on tourists in Indian-controlled Kashmir, the worst assault in years targeting civilians in a restive region that has seen an anti-India rebellion for more than three decades.

The nuclear-armed rivals, which both claim Kashmir and administer separate parts of it, are at a dangerous crossroad after Tuesday’s militant attack, analysts said.

Twenty-six men were killed and 17 were injured when suspected militants opened fire at tourists in India's Jammu and Kashmir territory, police said.