Lightning and thunder plus 8mm fell just as the annual parade was getting under way but the big crowds were not deterred yesterday evening.

Katherine Terrace was filled with stalls and people who enjoyed the cooler temperatures which followed the sudden shower.

Only the music and food in 50 Cent Park fell victim to the storm with stall holders battling the wind to record a brisk trade on the evening.

For the third year in a row, the Christmas lights will be switched on at Kalano Flexible Care at 6.30 tonight.

The Red Cross will put on free food as well as carols for the switch on.

The annual Carols by Candlelight will be held tomorrow night to further stoke the Christmas fever.

As part of the annual Christmas celebration, local businesses are supporting  a Christmas in Katherine promotion.

Right through unto Christmas, if shoppers spend $25 or more at any participating businesses they will go into a draw to win a share of $2500 in prizes.

First prize of $1000 in vouchers can be spent at any of the supporting businesses and the entries have been flooding in.

Katherine Town Council is presenting this year’s Carols by Candlelight – Star of Wonder Star of Night.

The 2.5 hour show will feature 34 performances – including 32  performances supported by a house band, a first for the community carols.

Dani Mattiuzzo will be MC for the night and the schedule features the Cantarbillay Kids Choir, the St Joseph's Catholic Choir, the local Heritage Christian Church, St Paul's Anglican Band, two special performances from the Clyde Fenton School and many other community performances.

The festive cheer will begin at 4pm at the Lindsay Street Complex on Saturday in conjunction with the Katherine Markets with carols starting at 6.30pm.