Hyderabad is situated in central India at 500 meters (1640 ft) above sea level on the Deccan Plateau. This rocky and hilly area is scattered with cultivations of various crops and paddy fields. Originally the ‘Old city’ was built along the banks of the River Musi, but was later moved to the north of the river, where the modern city rose up. Although the actual city of Hyderabad is only four centuries old, the region was civilized many centuries before starting with the reign of the Kakativa kings. A couple of centuries ago it was an important trading center for pearls and diamonds, thus it is also referred to as the ‘Pearl City’.

After the fall of the Bahamani Kingdom in the Deccan region during the year 1521 A.D., the Quli Qutb Shahi’s ruled for 171 years. It was precisely during this period that trade and commerce flourished, and the extraction and production of diamonds, pearls, steel and fabric became an important activity in the region. Cultural development was also an important factor during this period, as the city became a center of learning with the introduction of Indo-Persian and Islamic literature. The city prospered in wealth and culture, which suddenly came to an end with the conquest of Aurangzeb, the Mughal emperor in 1687. In 1707 the Mughals’ stronghold weakened with the death of Aurangzeb, and finally in 1724 Mir Quamaruddin who bore the title of Nizam, declared independence, and the city was separated from the Mughal kingdom. The Asif Jahi period followed with seven Nizam's who ruled for a more than 224 years. Trade and commerce picked up once more and became the prominence of the region as in the past.