The provincial government media office in a statement said the incident took place at around 10am local time in the vicinity of the 6th police district of the city.
The statement further added that the attack left at least eight civilians and two security personnel dead while two security personnel and two civilians sustained injuries.
According to governor’s office, the health condition of two of the wounded people has been reported as critical.
The attack has also caused damages to several vehicles and properties in the area, the provincial government added in its statement.
No individual or group including Taliban militants have so far claimed responsibility behind the incident.
Nangarhar is among the relatively calm provinces in East of Afghanistan but the anti-government armed militant groups including Taliban and ISIS militants have been attempting to expand their foothold in this province during the recent years.