The decision to build Islamabad was taken in 1958 under President Ayub Khan . Karachi, the capital since Independence in 1947, and Pakistan's largest city and only port, proved unsatisfactory because of its distance from many parts of the country and because of its debilitating climate. Islamabad on the other hand, offered a healthy climate, plenty of water and a central position on the Grand Trunk Road, close to Punjab and North-West Frontier Province. That nearby Rawalpindi was the headquarters of the Pakistan army was another consideration. Finally the site had historical connections because of its proximity to nearby Taxila, for many centuries the regions main city.

A Greek firm of architects, Doxiadis Associates, drew up a master plan, triangular in shape based on a grid system with its apex towards the Margala Hills. The planners envisaged Islamabad eventually absorbing Rawalpindi entirely and stretching well to the west of the GT Road.

The city was divided into eight zones: the diplomatic enclave , the commercial district, the educational sector, the industrial area and so on , each with its own shopping area and park. Construction began in 1961 and the first residents

 moved in two years later. Meanwhile, government offices were temporarily moved up to Rawalpindi.

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