"The New Year celebrations program organized by Istanbul municipality in Taksim Square on December 31, 2008 has been cancelled due to the latest developments in our region," the statement said.

Israel unleashed on Saturday a massive air campaign against Hamas targets in retaliation for ongoing rocket fire from its Gaza Strip stronghold, one of the most densely populated places on earth.

At least 51 civilians are among the victims of the Israeli blitz on Hamas-run Gaza Strip that has so far killed more than 310 people, the U.N. said.