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The most popular theory of origin of the name Dhanbad is that it is derived from Dhan (धन) and Abad (आबाद), meaning "prospered with wealth" due to being a mineral rich region.Historically the name of Dhanbad was Dhanbaid which seems to have been derived from the word Dhan (paddy) and baid, i.e., the paddy land. some information is available from the account of the travels of Hieun Tsang.Its geographical length (extending from north to south) is 15 miles (24 km) and the breadth (stretching across east to West) is 10 miles (16 km).

On 1 October 2011, India's first AC double-decker train was flagged off to connect Howrah and Dhanbad.The oldest authentic documents produced were all on paper and barely even a hundred years old.However, on 24 October 1956, Dhanbad was declared a District on the Recommendation of the States Reorganization Commission vide notification 1911.Present Purulia district was carved out of the district of Manbhum.In the Settlement Report for Manbhum (1928) it was stated that no rock inscriptions, copper plates or old coins were discovered and not a single document of copper plate or palm leaf was found, during the Survey and Settlement operations.

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