A bombing in the Bavarian town of Ansbach that killed one and injured 12 others was "very likely" an act of Islamist terrorism, a state government official said Monday.

The suspect was the only person who died in the blast, which occurred outside a music festival where he was refused entry, Bavarian Interior Minister Joachim Herrmann said.

Three of the injured were in serious condition.

The 27-year-old suspect, who arrived in Germany two years ago from Syria, was denied asylum last year but was allowed to remain in Germany due to the ongoing conflict in Syria, the minister said.

"It is my personal assessment that I unfortunately believe it very likely that a real Islamist suicide attack took place here," Herrmann told dpa early Monday.

The attacker had a backpack filled with explosive material and sharp metal objects, "suited to killing as many people as possible," Herrmann said.

"If he had gotten into the event, there would definitely have been more victims," said Nuremberg deputy police chief Roman Fertinger.

Police investigators planned to examine a mobile phone they found on the suspect. They also appealed to the public for any videos or pictures of the attack.

The suspect had tried to kill himself on two prior occasions and had been treated at a psychiatric clinic, the minister said. The suspect was known to police.

The explosion occurred near the entrance to the Ansbach Open 2016 music festival, where approximately 2,500 people were in attendance.

The open air concert came to an immediate halt after the bombing and panic ensued in the city centre.

Approximately 200 police officers were dispatched to the scene, along with 350 other rescue personnel.

The bombing was the third bloody incident within a week in Bavaria. It followed Friday's shooting rampage in Munich that left 10 dead, including the 18-year-old shooter. On July 18, a 17-year-old attacked and severely wounded passengers on a train in Wuerzburg.

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