A police official said the restrictions were in place in Nowhatta, Khanyar, Safakadal, M R Gunj and Rainawari areas of the summer capital.
The curbs are a precautionary measure as one of the militants killed in Wednesday's encounter in Budgam was a resident of Nowhatta, he said.
The official said the curbs were lifted from all other areas of the city as well as elsewhere in Kashmir as the situation was improving.
Authorities had yesterday imposed curfew in Shopian town and restrictions in seven police station areas of Srinagar as well as in Anantnag, Pulwama and Kulgam districts in south Kashmir and Sopore and Handwara townships in north Kashmir.
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