Ismailia was founded in 1863, during the construction of the Suez Canal, by Khedive Ismail, after whom the city is named. Following the Battle of Kafr-el-Dawwar in 1882 the British established a base there.
The head office of the Suez Canal Authority is located in Ismailia at the shore of Lake Timsah. It has a large number of buildings dating from British and French involvement with the Canal. Most of these buildings are currently used by Canal employees
