The blast targeted a convoy of the paramilitary Frontier Corps that was on a routine patrol at Saryab Road, police officials said.
The officials said the bomb, which was hidden in a car parked by the roadside, was triggered by remote control.
Five persons were killed and several injured when the bomb exploded, state-run Radio Pakistan reported.
Several vehicles, including four auto-rickshaws, were destroyed by the blast.
Footage on television showed several cars and auto-rickshaws on fire at the site of the blast, which was cordoned off by security forces.
The injured were taken to the Civil Hospital, where doctors described the condition of several of them as serious.
A child was among the injured.
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All the dead and injured were civilians.
Several educational institutions and government offices are located in the area where the blast occurred.
No group claimed responsibility for the blast. PTI RHL KIM