The Faculty of Commerce was established during the session 1919-20. A Government Institute of Commerce was established in 1919 and affiliated with the University of the Punjab for issuing a Diploma in Commerce. In 1922, it was recommended that a Bachelor Degree in Commerce should replace the Diploma. On the basis of these recommendations, Hailey College of Commerce was established on 4th March, 1927 after the name of Sir Malcolm Hailey, the then Governor of the Punjab and the Chancellor of the university. Initially a three years B. Com. Degree course was introduced to impart sound and quality education in the field of Commerce in this part of the sub-continent. Later on in 1954, 2-year M.Com Programme was also started.