Vahlika and Valhika are variant names of a people who lived in the northern division of India from very early times. A king of the tribe, Balhika Pratipya, is referred to in the Shatapatha Brahmana, and is represented as having opposed the restoration of Dustaritu king of the Srinjayas. In the Sabha Parva of Mahabharata also there has been mention of the Vahlikas. According to the Vayu Purana as well as the Kavya Mimamsa of Rajasekhara, the Valhika country is placed in the northern division. In the Ramayana the Valhikas are associated with the people of the north, and sometimes with those of the west. It has been referred in the Udyoga Parva that even horses of the Vahlikas were well known and that is a reason as to why the Kambojas are closely associated with the Kamboja Tribe.
It has been recorded in history that the Vahlikas were settled beyond the Indus. Sometimes the country of the Vahlikas is identified with the region which is presently known as Balkh. In other words it can be said that, the Vahlikas should be identified with the `Baktrioi` occupying the country near Arachosia.
In the Uttara Kanda of the Ramayana there has been a reference of a dynasty of kings who are said to have descended from one Kardama or Kardameya. They were related to the Aila race, and were associated with Valhi or Valhika over which they seem to have held sway. It has also been narrated in the Uttara Kanda that the Vahli or Vahlika country is situated outside the Madhyadesa, which must have extended as far as the Saraswati River in the west. From various historical references it can be said that Vahlika can well be identified with Balkh in Iran.
At many places it has also been said that Vahlikas or Valhikas should not be identified with the Vahikas, who seem to have lived between the Sutlej River and the Indus River. In many places the Vahlikas were also known as Jarttikas and Arattas and their capital was Sakala, which is the modern day Sialkot which is located towards the west of Ravi River. On the other hand history has also stated that Panini had said Vahika was another name of Punjab.