The fire broke out at a Kalshi slum in Mirpur of the city on Monday noon was doused after two hours of relentless efforts by firefighters.
Five units of fire service rushed to the spot and trying to douse the blaze, Fire Service Headquarters' Duty Officer Lima Khanom told The Business Standard.
The fire originated from a shanty of the slum at around 1pm.
Accroding to locals, approximately 300 shanties were gutted in a fire.
The officer could not immediately confirm what actually sparked the fire.
An investigation committee will be formed soon to find out the cause of the fire, he said.