Dozens were wounded in the attack, which followed an overnight assault on the north-eastern city by Boko Haram.
At least 13 people were killed by the Islamist militants before troops were able to push them back their advance.
The attacks came just hours after Muhammadu Buhari was sworn in as Nigeria's new president. He has vowed decisive action against Boko Haram.
In recent years the militants have killed thousands of people - mostly in north-eastern Nigeria - in its attempt to set up an Islamic state.
So far no group has said it carried out Saturday's suicide bombing.
'Bright flashes'
Late on Friday, Boko Haram fighters fired rocket-propelled grenades into the southern suburbs of Maiduguri around three hours.
The Nigerian army deployed armoured vehicles and fired back, forcing the militants to retreat.
The BBC's Will Ross in Abuja says that the attack seems to be Boko Haram's way of showing that they remain a significant threat despite a recent military offensive against them.
In his first speech as president on Friday, Mr Buhari reiterated his commitment to tackle the group, which he described as a "godless group, who are as far away from Islam as one can think".
Mr Buhari, a former military ruler, has taken over from Goodluck Jonathan, who had been in office since 2010.
Nigeria's new president has also promised that the government will do everything it can to rescue more than 200 Chibok girls who were captured last year by Boko Haram.
He is the first opposition figure to win a presidential election in Nigeria since independence in 1960.
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