The blaze erupted around 11:00am, said Rafi Al Faruk, said duty officer at the Fire Service and Civil Defence headquarters.
Five units from Kurmitola Fire Station brought the fire under control around 11:35am, he added.
Further details, including the cause of the fire and any casualties, are yet to be confirmed.
Earlier, a fire broke out at another slum in Gabtoli area around 3:00am, which was brought under control by eight fire engines around 4:30am.
