Nawada is situated in the Magadh subdivision of southern Bihar. Nawada has been a place of historical imminence, King Brihadratha founded the Magadh Empire in the region and the area was dominated by many dynasties like Brihadratha, Maurya, Kanah and the Gupta that ruled over many states of middle and north India. Before being formed as a new district, Nawada was a part of the Gaya district. Historians believe this place was a reputed religious center for the Hindus in the period of Pals.
Some significant temples and religious spots within the district are Sobhnath, Sankat Mochan, Gonawa Jal Mandir. It is an ancient place and also spiritually important for Jainism for places such as Pawapuri-Tirthankara Mahavir's Nirwan Sthal, Jal Mandir and Gunawan Ji Mandir and finds mention in the Mahabharata epic. The town itself contains no important buildings and has but little historical interest. Kakolat, a beautiful waterfall is located about 27 kilometres (17 mi) from Nawada town folklore suggests that the Lord Krishna Used to go there with his queens for taking bath.
Before its acquisition by the East India Company, Nawada was ruled by the nearly independent Rajas of Hisua, and after its acquisition it was the center of great disorder till 1845, when it became the headquarters of the newly created subdivision. The elements of disorder came to the front again during the Mutiny of 1857, when Nawada was overrun by marauding parties. The local offices were destroyed, but the Government record was saved by the native officials who hide them in a cave in a neighboring hill. These are the only public record dating before 1857 which still exist in the district.
The origin of the name Nawada is believed to be a corruption of Nau-abad or the new town which was earlier known as 'The Eliot Market (Bazaar)'
