The incident has taken place in the vicinity of Bolan area of the city after a suicide bomber detonated his explosives near a police outpost.
In the meantime, an official of the Border Protection Police Forces in Helmand confirmed that a policeman lost his life and around five others were wounded in the attack.
The provincial government in a statement also confirmed that a policeman lost his life and eight others were wounded in the attack.
The statement further added that several houses located near the incident site were also badly damaged due to the explosion.
The Taliban group in Afghanistan claimed responsibility behind the incident.