In 1975 the suggestion arose that a local museum should be created in Madang, an idea that was supported by the government of the province, expatriates, and local tourist businesses. The museum opened on 6 June 1981. It was opened by Kaki Angi, then Minister for Tourism for the province. The museum shares a building with the Madang Visitors and Cultural Bureau. In 2015 the museum underwent a restoration programme, led by ethnographer and volunteer Mary Mennis. Madang Provincial Government covers wages and utility costs for the museum, but other funding comes from private donations.