The museum was established in 1917 to preserve and exhibit the antiquities discovered during the excavations of the Nalanda Mahavihara. The excavation of Nalanda, a significant Buddhist monastic university, yielded a vast array of artifacts that needed a safe place for preservation and display. The museum's collection is largely comprised of items dating from the 5th to 12th centuries CE, reflecting the peak period of Nalanda's influence. Over the years, the museum has expanded its collection through further archaeological explorations and acquisitions. The museum plays a crucial role in educating visitors about Nalanda's historical importance and its place in the spread of Buddhism.