New Zealand skipper Brendon McCullum won the toss and elected to bat first.
Earlier, McCullum and Latham put up 77 runs together before the skipper departed for the pavilion after making 43 runs for his side. He was caught by Shan Masood from the bowling of Ehsan Adil.
Then came Kane Williamson who scored 32 runs for the visitors before being clean bowled by Babar after the ball went through his defences.
New Zealand are batting at 159/2 with Latham and Ross Taylor at the crease with 83 and 1 run to their names respectively.