Israel and Palestinian Islamic Jihad have agreed to a ceasefire after a weekend of fighting.
The outage began at 11:30 p.m. local time (9:30 p.m. local time), the Israeli government and Islamic Jihad said in separate statements.
Israel thanked Egypt for its “efforts” in helping broker the truce.
However, it added: “If the ceasefire is violated, the State of Israel maintains the right to respond forcefully.
“We will not allow any disruption to the lives of the citizens of the State of Israel.”
Ziyad al-Nakhala, Secretary General of Islamic Jihad, said: “If the occupation does not follow what was agreed, we will consider the agreement null and void and we will continue the round of fighting. without hesitation.”
Islamic Jihad also said the truce would involve the release of one of its leaders, Bassam al-Saadi. Israeli officials were not immediately available for comment.
It is the most severe outbreak on the Gaza border in more than a year.
In an update on Sunday night, the Palestinian Health Ministry said the death toll had reached 44 Palestinians, including 15 children and four women.
More than 350 people were injured, the ministry added.
Starting on Friday, Israeli forces attacked Palestinian targets through the weekend.
They described their attacks as pre-emptive strikes – against a predicted Islamic Jihad attack designed in retaliation for Mr al-Saadi’s capture in the occupied West Bank.
In response, the Islamic Jihad group fired hundreds of rockets at Israel, threatening much of the south of the country.
Residents of cities including Tel Aviv and Ashkelon have taken to shelters.
Earlier it appeared that a second most senior Islamic Jihad commander – Khaled Mansour, the group’s top official in the southern Gaza Strip – has been killed.
The group said an air strike in the southern city of Rafah also killed two militants and five other civilians, including a child and three women.
On Sunday, Jihad extended its range to fire towards Jerusalem in what it describes as retaliation for the killing of Khaled Mansour.
Israel said the missile was shot down just west of the city by the Iron Dome interceptor system.