The Red Cross health programme manager was returning to his home in Quetta, on Thursday, when his car was stopped by a gang of seven or eight masked men who forced him into their Jeep at gunpoint.
“We have traced the group behind the kidnapping of the British citizen,” said district inspector general Nazir Kurd, the city’s senior officer.
“Due to security concerns we aren’t in a position to disclose the details, but progress has been made in this regard.”
Mr Dale, who converted to Islam and is known as Ken in Dumfries, where he is from, has received an MBE for his humanitarian work.
Police have not named the group they believe to be responsible.