Mian Yar Muhammad Kalhoro (Sindhi: يار محمد ڪلهوڙو) became chieftain of Kalhora clan after his elder brother Mian Din muhammad Kalhoro who was imprisoned and Killed in Multan Jail by Prince Muiz-ud-Din Muhammad, the governor of Multan in 1700 A.D.
Yar Mohammad Kalhoro may be regarded as the real founder of Kalhora Dynasty. In 1701, he managed to wrestle Shikarpur,the center of trade from Central Asia to subcontinent from Daudpotas and established his rule in Upper Sindh.Later,He was made governor of Siwi through imperial decree.He founded a new city Khudabad after he obtained from Aurangzeb a grant of the tract between the Indus and the Nara and made it capital of his kingdom.Thenceforth, Mián Yár Muhammad became one of the imperial agents or governors.Later he extended his rule to Sehwan and Bukkur and became sole ruler of Northern and central Sindh except Thatto which was still under administrative control of Mughal Empire. Mian Yar Muhammad Kalhoro ruled sindh for 18 years.All above events took place during first 9 years of Mián’s rule. The next 9 years were spent in peace and enjoyment, except for tragic incident of Jhok in which too he remained successful.