The princely state of Bahawalpur’ was founded in 1802 by Nawab Mohammad Bahawal Khan II after the breakup of the Durrani Empire. The city is large at over 451 kilometers long. Nawab Mohammad Bahawal Khan III signed a treaty with the British on 22 February 1833, guaranteeing the independence of the Nawab..

The city, which lies just south of the Sutlej River, is the site of the Adamwahan Empress Bridge, the only railway bridge over the Sutlej in Pakistan.The climate is mainly hot and dry. In the summer the temperature reaches the high forties (Celsius) during the day and the nights are slightly cooler.

Bahawalpur lies at the junction of trade routes from the east, south-east, and south. It is a center for trade in wheat, cotton, millet, and rice grown in the surrounding region. Dates and mangoes are also grown here. Canals supply water for irrigation. The principal industries are cotton ginning, rice and flour milling, and the hand weaving of textiles.

The city of Bahawalpur has a rich heritage and is an important hot spot for historians as well as archeologists. Bahawalpur is known for its cotton, silk, embroidery, carpets, and extraordinarily delicate pottery. The Punjab Small Industries Corporation (PSIC) has established a Craft Development Center for Cholistan area, outside Farid Gate, Bahawalpur from where handicrafts manufactured in Cholistan can be purchased. Some of the souvenirs produced in the city include

The city boasts a number of reputable educational establishments, most notably The Islamia University of Bahawalpur, Quaid-e-Azam Medical College, and Sadiq Public School, which is one of the largest boarding schools in Pakistan. Other top schools include Beaconhouse School Bahawalpur, The City School (Pakistan), Bloomfield Hall Schools, Askari Kids College, Umm Al-Qura Education System, Progressive Schooling System, Dar e arqam School, Jinnah Public School, Rangers Public School and College.