Lulusar Lake, at 3,410 m (11,190 ft), is the primary headwaters of the Kunhar River.

It flows southwest through the entire length of Kaghan Valley passing Jalkhand, Naran, Kaghan, Jared, Paras and Balakot until its confluence with the Jhelum River.

Lulusar Lake marks the historic place where fifty-five participants of the 1857 Indian war of independence were arrested.

Lulu means gorgeous and sar means top in Pashto referring to one of the highest lakes in Pakistan.

The lake is much larger than other lakes in the Kaghan Valley.

Its mirror-like water reflects the surrounding snow capped Lulusar mountains, creating a natural tourist attraction.

From Gittidas east of the lake the Naran-Babusar road goes through the Babusar Pass, which is the highest point in the Kaghan Valley (el.4,173 metres or 13,691 ft.), to the Karakoram Highway and mountaineering hub of Gilgit.

From Naran Town the Naran-Babusar road ascends 48 kilometres (30 mi) northeast up Kaghan Valley to Basel, from where one reaches Lulusar Lake.

Jeeps can be hired in Naran to travel to the lake, but as the Naran-Chilas road now runs along the lake many tourists and travellers visit the lake using personal transport.