The incident took place late on Thursday afternoon in the new city of Baghlan Markazi district after a mortar round landed in the area.
Provincial public health officials confirmed 8 civilians including a woman and two children were among those killed.
The officials further added that a number of injured civilians are in critical condition amid fears that the death toll could rise.
No group including the Taliban militants has so far claimed responsibility behind the incident.
In a statement released by Taliban earlier today, the group said they are not involved in the attack.
Baghlan is among the relatively volatile provinces in northern Afghanistan where Taliban insugents are actively operating in its various districts and often carry out insurgency activities.
The group has staged numerous attacks in different parts of Baghlan province during the recent months with an aim to capture key districts as it struggles to expand insurgency in northern provinces of the country.