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Two people have been arrested and an overnight curfew lifted after mobs attacked Muslim-owned shops and some vehicles in a Sri Lankan town where a suicide bombing targeted a Catholic church last month.

Residents in the seaside town of Negombo say the mostly-Catholic attackers stoned and vandalized shops. It is unclear how the dispute began but most residents say a private dispute took a religious turn.

Police spokesman Ruwan Gunasekara said earlier that the violence was brought under control and two people arrested.

The clash is the first reported since the Easter bombings by Islamic extremists two weeks ago that killed more than 250 people.