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It is thought to have been in Aceh where Islam was first established in Southeast Asia. In the early seventeenth century the Sultanate of Aceh was the most wealthy, powerful and cultivated state in the Malacca Straits region. Aceh has a history of political independence and fierce resistance to control by outsiders, including the former Dutch colonists and the Indonesian government. Aceh has substantial natural resources, including oil and natural gas - some estimates put Aceh gas reserves as being the largest in the world. Relative to most of Indonesia, it is a religiously conservative area.[3]

Aceh was the closest point of land to the epicenter of the massive 2004 Indian Ocean earthquake, which triggered a tsunami that devastated much of the western coast of the region, including part of the capital of Banda Aceh. 226,000 Indonesians were killed or went missing in the disaster, and approximately 500,000 were left homeless,[4] with these casualties particularly pronounced in Aceh. This event helped trigger the peace agreement between the government of Indonesia and the Free Aceh Movement (GAM), mediated by former Finnish president Martti Ahtisaari, with the signing of a MoU on August 15, 2005. With the assistance of the European Union through the Aceh monitoring mission as of December 2005, the peace has held.

Evidence concerning the initial coming and subsequent establishment of Islam is thin and inconclusive, however, it is thought that it was through the Aceh region. When Venetian traveller Marco Polo passed by Sumatra on his way home from China in 1292 he found that Perlak was a Muslim town while nearby 'Basma(n)' and 'Samara' were not. 'Basma(n)' and 'Samara' are often said to be Pasai and Samudra (present-day Syamtalira) but evidence is inconclusive. The gravestone of Sultan Malik as-Salih, the first Muslim ruler of Samudra, has been found and is dated AH 696 (AD 1297). This is the earliest clear evidence of a Muslim dynasty in the Indonesia-Malay area and more gravestones from the thirteenth century show that this region continued under Muslim rule. Ibn Batutah, a Moroccan traveller, passing through on his way to China in 1345 and 1346, found that the ruler of Samudra was a follower of the Shafi'i school of Islam.

The Portuguese apothecary Tome Pires reported in his early sixteenth century book Suma Oriental that most of the kings of Sumatra from Aceh through to Palembang were Muslim. At Pasai, in what is now the North Aceh Regency, there was a thriving international port. Pires attributed the establishment of Islam in Pasai to the 'cunning' of the Muslim merchants. The ruler of Pasai, however, had not been able to convert the people of the interior.

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