As the radical movement grew stronger the British began to look for ways and means to break the unity among Indian. They tried to do this through the partition of Bengal and by sowing the seed of communalism among Indian people. They motivated Muslims to form a permanent political association of their own.

In December, 1906, during the Muhammadan Educational conference in Dacca, Nawab Salim Ullah Khan raised the idea of establishing a Central Muhammadan Association to take care of Muslim interests. Accordingly, on 30 December, 1906, the All India Muslim League was founded. Another prominent person, Aga Khan was chosen as its president.

The main objective of the league was to protect and advance the rights of Muslims in India and represent their needs to the government. By encouraging the issue of separate electorates, the government sowed the seed of communalism and separatism among Indians.

The formation of the Muslim League is considered to be the first fruit of the British master strategy of ‘Divide and Rule’. Mohammad Ali Jinnah later joined the League.