Muslim Rohingya children are seen at the Bawdupha Internally Displaced Persons camp on the outskirts of Sittwe, in Myanmar on November 2, 2012
Win Htein, a member of the opposition National League for Democracy (NLD) party, said he had seen bodies at the scene of fresh fighting in the town of Meiktila on Thursday."More than 10 people were killed," he said.
The unrest began on Wednesday after an argument in a Muslim-owned gold shop turned violent, according to a post on Myanmar Police Force's Facebook page, which said around 200 people had clashed on the streets.
Police have so far confirmed that two people died -- including a Buddhist monk -- after sustaining severe burns in Wednesday's fighting, while several mosques were also torched by angry mobs.
A curfew was put in place overnight but witnesses said the violence erupted again on Thursday morning, with authorities struggling to stem it.
A local resident, who asked not to be named, said he had seen "many dead bodies".
"The situation is getting worse. The police cannot control the people. There are groups of people on the streets with knives and sticks," he said.
The unrest comes amid heightened tensions between Muslims and Buddhists in Myanmar, where communal conflict in Rakhine has left at least 180 people dead and more than 110,000 displaced since June 2012.
Win Htein said that there were around 30,000 Muslims in Meiktila out of a total population of around 80,000 and that no similar clashes had happened in his lifetime.
"I think it is a consequence of what happened in Rakhine state last year," he added.
A local police officer confirmed that "some people were injured" in fresh fighting in the town, but did not give further details.
Myanmar's Muslims -- largely of Indian, Chinese and Bangladeshi descent -- account for an estimated four percent of the roughly 60 million population, although the country has not conducted a census in three decades.
An initial report on the police Facebook page late on Wednesday said anger spread in Meiktila after one man was injured during the row in the gold shop.
The report said a mob then descended on the area and destroyed some buildings.
It said six people were hospitalised, and that the Buddhist monk and a Muslim man later died from their injuries. A subsequent police report omitted the religion of the second man.
