Ali Zafar was born in Lahore, Punjab, Pakistan in a Punjabi family. His parents were Mohammad Zafarullah and Kanwal Ameen, both professors at the University of Punjab, Pakistan. He studied at the C.A.A. Public School and Beaconhouse School System where he topped his matriculation exams. He completed his graduation from the Government College of Lahore and the National College of Arts in fine arts. Zafar made his first comic book at the age of eight. Early in his career, he worked as a scratch artist at Pearl Continental Hotel in Lahore.