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Sri Lanka police arrested three people in connection with warnings of a planned attack on Israel travellers visiting the Indian Ocean island, a government minister said Thursday.

This comes a day after the authorities stepped up security across the country, and the United States issued a warning about a possible attack at a popular tourist destination.

Three Sri Lankans have been taken into custody and are now being interrogated said Minister of Public Security and Foreign Affairs Vijitha Herath.

He declined to give further details, saying that would hamper the investigation.

Authorities said on Wednesday they had raised security around Arugam Bay, a popular surfing destination in the country's east, after receiving intelligence from another country about a possible threat to Israeli travellers.

On Thursday, Herath said the information received did not include specifics but warned that an "attempt will be made to create disturbances" targeting places where Israel nationals conduct religious gatherings.

At present, 575 Israel nationals are in Sri Lanka, he said.

Israel's national security council called on Israelis on Wednesday to immediately leave some tourist areas in southern Sri Lanka over the threat of a possible terrorist attack.

The agency said the warning pertained to Arugam Bay and beaches in the south and west of Sri Lanka and stemmed from "current information about a terrorist threat focused on tourist areas and beaches".

The security council did not specify the exact nature of the threat and called on Israelis in the rest of Sri Lanka to be cautious and refrain from holding large gatherings in public areas.

"The Israeli security establishment...is in close contact with the security authorities in Sri Lanka and is following the developments," it said.

The US embassy in Sri Lanka also issued a security alert, stating it had received "credible information warning of an attack targeting popular tourist locations in the Arugam Bay area".

"US citizens are strongly urged to avoid the Arugam Bay area until further notice," it added but did not give details.

Germany's Foreign Ministry also urged travellers to avoid the area or to leave it as soon as possible, citing "indications of possible attacks on tourist destinations".

Police security has been beefed up in the area, and officials are on high alert, police spokesperson Nihal Thalduwa said in a video statement released in Colombo.

"This area is a popular spot for surfing and this has attracted a large number of Israeli tourists. We are working to ensure they remain safe," Thalduwa said.

The government said it had increased roadblocks and vehicle checks and deployed army and navy troops, among other security measures, to protect tourists visiting the country during the year-end season.