Unlike most world capitals with centuries of history, Naypyidaw is one of the youngest and most large-scale urban planning projects of the 21st century. Its history is inextricably linked to the decision to relocate the country's administrative centre, which determined its unique appearance and rapid development.
The city was built practically "from scratch" on the site of several villages, approximately 320 kilometres north of the former capital, Yangon. Construction work began in 2002–2003 under strict secrecy. The process of moving government institutions from Yangon began on 6 November 2005; according to some reports, this date and time were chosen based on astrological forecasts. The city received its official name, which translates as "Royal Country" or "Abode of Kings", on 27 March 2006.
The decision to create a new capital was dictated by a complex set of strategic considerations. One of the main factors was geography — Naypyidaw's central location ensures more effective control over the entire territory of the country. Furthermore, the relocation of the administrative centre was intended to decongest the overpopulated Yangon and create a modern, well-planned urban environment for the operation of the state apparatus.
From the very beginning, Naypyidaw developed not as a traditional city, but as a giant administrative centre where early features were the result of a unified plan rather than organic growth. The city is known for its multi-lane highways, which seemed deserted in the early years, monumental government buildings, and clear zoning into residential, government, military, and hotel districts. One of the first iconic structures was the Uppatasanti Pagoda, which is an almost exact replica of the famous Shwedagon Pagoda in Yangon. Economic life at the early stage was entirely focused on servicing state needs and construction, thanks to which Naypyidaw became the only city in the country provided with a round-the-clock power supply.