The Pakistan Aviation Ministry said the flight from Lahore was carrying 99 passengers and 8 crew members.
Hospital spokesman Seemi Jamali said at least 11 bodies from the scene were brought to Jinnah hospital. It is not known if these dead were victims of the ground or the plane.
The airliner descended on Model Colony, a busy residential area near Jinnah International Airport.
Flight PK 8303 took off from Lahore and was scheduled to land at 2:30 p.m. local time in Karachi but disappeared from the radar, Pakistan International Airlines (PIA) spokesman Abdullah Khan told CNN.
The pilot of the Airbus A320 airliner made a distress call to say that he was experiencing technical problems, Khan told CNN.
“He had been told that the two landing strips were available for his use, but he preferred to use the landing strip for the go-around, we are examining the technical problem. Our prayers for the lives lost,” said Khan.
An emergency response protocol has been activated, he added.
The flight was special to help passengers get home for Eid vacation after the lockout, said Khan. On May 9, Pakistan began a gradual relaxation of its Covid-19 national lock.
Friday is the first day of a week of Eid holidays in Pakistan to mark the end of Ramadan.
The Pakistani military has sent helicopters to assess the damage and rescue efforts, while urban search and rescue teams are deployed on the ground, the Pakistani military said on Friday.
The Pakistan Red Crescent Society also said it had sent ambulances and rescue workers to the scene.
Prime Minister Imran Khan posted on Twitter that he was shocked and saddened by the accident. An “immediate investigation” will be put in place, he said.
The Pakistan Civil Aviation Authority authorized the resumption of limited domestic air travel on Saturday after a two-month suspension imposed as part of efforts to contain the spread of the coronavirus. International flights are not expected to resume until June 1.
This story has been updated to correct the flight number of the aircraft.
CNN’s Sophia Saifi and Adeel Raja reported from Islamabad and Laura Smith-Spark wrote from London.