Reports suggest that the blast appeared to have taken place in a car near the Spanish Embassy in the city’s affluent Sherpur area, which has many foreign embassies and government buildings.
Some gunshots were also reported following the blast when three insurgents attempted to storm a guesthouse located near the Spanish Embassy.
It is not yet clear if the guest house was inside the embassy premises.
The blast comes days after an attack on the airport complex in Kandahar which left close to 50 people dead. (ANI)