The gunman who killed two people and injured more than a dozen more when he opened fire on a Toronto street has been identified as 29-year-old Faisal Hussain.

Key points: The suspect opened fire with a handgun on a busy Toronto street

The suspect opened fire with a handgun on a busy Toronto street Canada's murder rate jumped by 7 per cent last year

Canada's murder rate jumped by 7 per cent last year Toronto has deployed about 200 police officers in response

Hussain killed a 10-year-old girl and an 18-year-old woman and injured 13 others in the attack on a busy restaurant-filled street. He then died after an exchange of gunfire with authorities.

It was not immediately clear whether he killed himself or was killed by police.

In a statement, Hussain's family said he "had severe mental health challenges, struggling with psychosis and depression his entire life".

"While we did our best to seek help for him throughout his life of struggle and pain, we could never imagine that this would be his devastating and destructive end," the Hussain family said.

The family members said their hearts were "in pieces" for the victims.

Sorry, this video has expired Toronto police confirm two killed in shooting, 13 injured.

Armed with a handgun, Hussain opened fire on a stretch of Danforth Avenue filled with restaurants and family-friendly attractions in the city's Greektown neighbourhood, the Special Investigations Unit said.

He walked down the busy avenue shooting.

Toronto police spokeswoman Meaghan Gray said the victims of the mass shooting included eight women and girls, and seven men.

"We do not know why this happened," Toronto Police Chief Mark Saunders said, adding he would not speculate about the gunman's motive.

"It's way too early to rule out anything."

Sorry, this video has expired The shooting happened in a neighbourhood known as Greektown.

Police did not formally identify the woman and the girl killed in the shooting spree.

But local MP Nathaniel Erskine-Smith confirmed the 18-year-old victim was Reese Fallon, a recent high school graduate who volunteered for Canada's Liberal party and was due to attend McMaster University in the autumn to study nursing.

Reese Fallon was due to attend McMaster University in the autumn to study nursing. ( AP: Courtesy of the Fallon family )

"She was … smart, passionate and full of energy. It is a huge loss," said Mr Erskine-Smith, who knew Ms Fallon.

"The family is devastated."

The 13 injured ranged in age from 10 to 59, and suffered injuries ranging from serious to minor, Mr Saunders said.

Dr Najma Ahmed of St. Michael's Hospital said five patients had been admitted in serious or critical condition and that three of the five underwent immediate lifesaving operations.

Prime Minister Justin Trudeau said on Twitter: "The people of Toronto are strong, resilient and brave — and we'll be there to support you through this difficult time."

Toronto Mayor John Tory told reporters the city had a gun problem, with weapons too readily available to too many people.

"Why does anyone in this city need to have a gun at all?" he said in an address to city councillors.

Friends of Fallon mourn at a small memorial in Greektown. ( AP: Mark Blinch/The Canadian Press )

To own a gun in Canada an individual must apply for a licence, pass a background check and pass a firearm safety test.

Guns must be kept locked and unloaded and can only be legally carried outside the home with a special permit. Handguns and other restricted firearms require passing an additional course.

Canada's crime rate rose by 1 per cent in 2017, the third consecutive annual increase, according to Statistics Canada.

People leave an area taped off by the police near the scene of the mass shooting in Toronto. ( Reuters: Chris Helgren )

The murder rate jumped by 7 per cent, due largely to killings in British Columbia and Quebec, while crime involving guns grew by 7 per cent.

Toronto is grappling with a sharp rise in gun violence this year. Deaths from gun violence jumped 53 per cent to 26 so far this year from the same period last year, police data last week showed, with the number of shootings rising 13 per cent.

Toronto has deployed about 200 police officers since July 20 in response to the recent spate in shootings, which city officials have blamed on gang violence.

Mr Saunders said the police presence would be increased in the Danforth area following the shooting.

In April, a driver deliberately ploughed his white rental van into a lunch-hour crowd in Toronto, police said, killing 10 people and injuring 15 along a roughly 1.6-kilometre stretch of sidewalk thronged with pedestrians.

Toronto has deployed about 200 police officers since July 20 in response to the shooting. ( AP: Christopher Katsarov/The Canadian Press )

AP/Reuters