Harjeet Singh, who owns a grocery shop, was attacked by motorcycle-borne gunmen outside his shop in the congested Nothia Bazaar.
The man died on the spot and his attackers, who have not yet been identified, managed to flee the area, Dawn online reported.
Riaz Ali Shah, SHO at Gulberg Police Station, said the trader was a resident of Dabgari.
Police is investigating the circumstances around the incident and motive of the attackers.
On Thursday, another Sikh man was stabbed to death by unidentified attackers in northwestern Khyber-Pakhtunkhwa province.
On August 6, members of Peshawar's Sikh community had come under attack with one killed and two injured in a firing incident.
Last month's attack had led to protests by members of the community who have demanded protection from the government.
Minorities in Muslim-majority Pakistan make up some two per cent of the country's population of 180 million.
Pakistan has witnessed violence against religious minorities in recent days as al-Qaida and Taliban-led militants regularly target Christian, Sikhs, Hindus, Ahmadi and Shia communities in the country.
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