According to the Dawn, the locals spotted his body in an under-construction quarter.
A police investigation revealed that the boy was kidnapped outside his house while he was playing with other kids on Tuesday afternoon.
He was sexually assaulted and later killed to conceal the crime, the investigation further revealed.
Iqbal Town Division Superintendent of Police (SP) Umar Farooq said that the police was informed by a local boy about the body, after which a police team visited the crime scene.
The police is investigating the matter and has launched an operation to nab the culprit.