Two Scandinavian tourists killed in Morocco’s Atlas Mountains were the victims of a terrorist attack, prosecutors believe.

One man has been arrested following the discovery on Monday of the bodies of 24-year-old Louisa Vesterager Jespersen, from Denmark, and Maren Ueland, 28, from Norway.

One of the women had been beheaded, a source told AFP.

A suspect in the murder was arrested in Marrakech on Tuesday, and was known to have ties to radical Islamist terror networks.

Police are hunting for three other suspects.