An 85-year-old Palestinian has died after inhaling tear gas used by the Israeli army to disperse a march near the occupied West Bank city of Nablus, Palestinian security sources say.

Said Nassar died in hospital in Nablus overnight after breathing in the gas fired by Israeli security forces on Wednesday during a march in the village of Kfar Qaddum.

Nassar had not been taking part in the march marking the 49th anniversary of the founding of the Fatah movement that governs the West Bank, the sources said on Thursday, but inhaled the gas while he was in his own home.

The village, which is west of Nablus and near the Israeli settlement of Kedumim, has been a source of tension between residents and the Israeli army.