It is situated in a desert environment on the southern edge of the Iranian high plateau.

The origins of Bam can be traced back to the Achaemenid period from 6th to 4th centuries BC.

From the 7th to 11th centuries, its heyday was being at the crossroads of important trade routes.It is famous for the production of silk and cotton garments.

The existence of life in the oasis was based on the underground irrigation canals, the qanāts, of which Bam has conserved some of the earliest evidence in Iran.

Arg-e Bam is the best example of a fortified medieval town constructed in vernacular technique.It used mud layers (Chineh)for construction.