Rehman was an actor in Hindi and Indian films. He was born on 23 June 1921 at Lahore. He graduated from Robertson College Jabalpur.

After college (1942) he joined the Royal Indian Air Force and trained at Poona as a pilot. Air Force didn't appeal to him and soon left for a career in films at Bombay. He is best known for his suave sophisticated roles, which suited his personality. His movie career started with a job as third assistant director to Vishram Bedekar at the studios in Pune. Vishram needed an Afghan who could tie a Pushtun turban on one of his characters. Rehman could do that being a Pushtun by race, and that brought him to the screen for some lead roles.

Initially he played lead roles, as time passed and his hair turned grey, he accepted character roles and made his mark in some hit films; Chaudhvin Ka Chand and Sahib Bibi Aur Ghulam (where he played a debauched zamindar, Chhote Sarkar), Waqt were some of his memorable roles, the first two with Guru Dutt.' famous actor, producer, director. He was a regular in Guru Dutt films ( Pyaasa). They were old friends from the days they were trying to break into films. Rehman also did key roles in 'Baharon Ki Manzil', 'Gomti ke Kinare', 'Dushman', 'Holi Ayi Re'. Rehman received four Filmfare nominations as Best Supporting Actor for: Yahudi (1958), Chaudhvin Ka Chand (1960), Sahib Bibi Aur Ghulam (1962), Dil Ne Phir Yaad Kiya (1966).

In 1977, he suffered three heart attacks after which he got throat cancer and died after a prolonged and painful illness in 1979. Rehman is the elder brother of Masood-ur-Rehman, cinematographer, Pakistan Film Industry. Masood is father of Pakistan TV and film star Faisal Rehman(Arman)., and celebrated Indian classical dancer Fasih-ur-Rehman.