Buddhism in due course of time had established Universities at Nalanda Vikramashila and Taxila. Many monks and chiefs studied in these universities. A large number of Buddhist literatures have cropped up as a result of these Universities. Many of these Buddhist writings are found in Tibetan texts, Chinese translations, and even in distant North West countries.

Shortly after the death of Lord Buddha, a Council was set up around 477 BC at Rajagriha. A second Council was held at Vaishali in 377 BC to canonize the Buddhist sacred books. In the third Council about 241 BC held at Pataliputra the books were canonized. The early-canonized books are known as Tripitakas i.e. three baskets. They form the canonized books of Hinayana or Theravadi schools.

The Vinayapitaka contains the teaching of the Buddha regarding the rules of conduct of monks. Satfapitaka contains the doctrine of Buddha and a number of his dialogues. It is divided into nikayas (collection).
Dirghanikaya (Long Discourses)
Majjhimanikaya (Medium sized discourses)
Samyutta-nikaya (Mixed Discourses)
Anguttara-nikaya (Graduated Discourses)
Khuddaka-nikaya (Miscellaneous Discourses).

Abhidbarmc-nikaya contains philosophical matter and creed. For the Mahayanist, Vaipulya Sutras and Prajnaparmita Sutras are very important. Visuddha-Magga of Buddhaghosa and Milindapanha are another set of important works done.