Fo Guang University was founded by Venerable Master Hsing Yun, the founder of Fo Guang Shan. It is the first university in the Lanyang area, Yilan county, in Taiwan. It is situated on the mountain in Linmei village, Jiaosi township, in Yilan county. The campus is about 430 meters above sea level, with a breathtaking view of both the Lanyan Plain and Turtle Island in the Pacific Ocean. The campus is surrounded by the beauty of its exquisite natural setting, infusing it with spiritual energy and inspiration. Its classrooms are furnished in quaint simplicity. Small classes allow for a low of teacher/student ratio as enhancing good learning environment.

Fo Guang University first broke ground in 1993 and in seven years, the school was established on the mountain in Linmei village, and was already able to begin recruiting students in 2000, under its former name, Fo Guang Humanities and Social Science College. Students first began to enroll in the university’s undergraduate programs in 2002 and formed small classes of thirty to forty students in each department. The school was renamed "Fo Guang University" in August, 2006.

Currently there are five colleges: Humanities, Social Sciences and Management, Creativity and Technology, Lohas and Industries, and Buddhist Studies. Fifteen departments are under these five colleges according to each of their subjects. With the exception of the Department of Health and Creative Vegetarian Cuisine, all departments offer a Master’s degree. In addition, the departments of Chinese Literature and Application and Buddhist Studies offer PhD degree programs.