Rocket-propelled grenades were fired at Afghanistan’s parliament and the Agence France-Presse news agency reported attackers had entered the building.
NBC's Akbar Shinwari reported that a shell passed overhead going in the direction of the US embassy compound.
It also reported that the newly-built Kabul Star hotel is on fire.
Smoke could be seen rising from a few buildings and sirens could be heard through the Wazir Akbar Khan neighborhood.
At least one attack was aimed at the British embassy and the British ambassador's house.
News channel Al Jazeera reported that smoke was seen rising from the German embassy.
Gunfire appeared to be coming from various directions in the heavily barricaded diplomatic area of central Kabul close to both the U.S. and British embassies.
Militants who had staked out positions in a tall building were firing rockets in different directions, according to an Associated Press reporter at the scene.
Pedestrians in the streets took cover as shooting continued.
It was the first attack in Kabul since a shooting inside the Interior Ministry in February in which a ministry employee turned a gun on NATO advisers and shot two soldiers dead.
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