The Central Sanskrit University, formerly Rashtriya Sanskrit Sansthan was established as on 15th October, 1970 for the development and promotion of Sanskrit all over the country. It is fully funded by Government of India. It functions as an apex body for propagation and development of Sanskrit shastras and assists the Ministry of Human Resource Development in formulating and implementing various plans and schemes for the development of Sanskrit studies. It has assumed the role of a nodal agency for the effective implementation of various recommendations made by the Sanskrit Commission set up by the Government of India in 1956 to consider the propagation and development of Sanskrit language and education in all its aspects. The Govt. of India, in pursuance of the recommendations of the Sanskrit Commission (1956-57) constituted a Central Sanskrit Board, which recommended the establishment of an institution namely Rashtriya Sanskrit Sansthan for the development, preservation and promotion of Sanskrit learning all over the country and abroad and presently it is upgraded as Central Sanskrit University by Central Sanskrit University act 2020 of parliament.

Central Sanskrit University also serves as central, administrative and coordinating machinery for the management of all Campuses located in various states of India. Shree Sadashiva Campus, Puri is the oldest and biggest campus among them.

In 1865 by the continuous efforts of Pandit Harihar Dash and financial support of the King of Balarampur state named Sri Digvijaya Singh Bahadur of Ayodhya dynasty, a Sanskrit institution was established in Puri and it was converted into a Sanskrit school in 1888.

This Sanskrit school was transformed into a college on 01.04.1918 by devoted efforts of Pandit Sadashiva Mishra, an eminent Sanskrit Scholar. The subjects like Sahitya, Vyakarana, Dharmashastra, Vedant, Nyaya, Samkhyayoga, Mimamsa, Jyotish, Agam, Puran and Ayurveda including modern subjects were being taught.

In August 15,1971, the Deptt. of Education, Govt. of India had taken it under its administration. The Puri Sanskrit Mahavidyalaya, the then Shree Sadashiva Sanskrit Mahavidyalaya was finally ornamented by the name of Shree SadashivaKendriya Sanskrit Vidyapeetha. On May 7th 2002, this institution was consented as Rashtriya Sanskrit Sansthan (Deemed University), Shree Sadashiva Campus by the MHRD, Govt. of India. UGC had also given its consent as Deemed University to this institution on June 13th, 2002 and it was inaugurated on July 3rd, 2002. In spite of so many hurdles in this mission, presently this institution has flourished into a huge shade and our eminent students and scholars are increasing its prestige by their talents, success and publications all over the world. The golden jubilee celebrations of the Institution were celebrated in 1968. The Institution has completed 100 years of its inception on 01.04.2018. Recently, the Centenary Celebrations of the institution were observed in a grand manner and in the presence of His Excellency Ramnath Kovind, Honourable President of India.