Two people have been arrested in connection with the matter. (Representational)

A 25-year-old businessman was allegedly shot dead in central Delhi's Karol Bagh after an altercation with another businessman on Tuesday night.

The deceased was identified as Vinay who operates a readymade garments business on Tank Road, police said.

According to police, Vinay died in firing after an altercation with another businessman over non-repayment of debt.

The accused fired several rounds at Vinay with a pistol, the police said.

The incident occurred at about 11 pm on Arya Samaj Road, where Vinay's house is located.

Two people have been arrested in connection with the matter.