Construction of the museum was launched after the German cultural institute (Goethe Institut) opened its new location on 19 September 2005 on the premises of the Addis Ababa University with a new designation: the Goethe-Institut Addis Abeba Gebrekristos Desta Center.

The center that will house permanent exhibition of more than 30 works of the late Ethiopian painter-poet has been described as one of the vivid expressions of the intensive academic and cultural exchange that exists between Germany and Ethiopia, said German Ambassador Dr. Claas D. Knoop in his message in connection with the centennial celebrations in 2005 of commencement of diplomatic relations between the two countries.

Signing the MoU were Dr. Claas D. Knoop and Professor Tsige Gebremedhin, who is AAU's postgraduate studies and research vice president.

The museum, Ambassador Knoop said at the signing occasion, would also be a place where Ethiopian and German artistes would be exhibiting their works.

Prof. Tsige also said the museum will be under the AAU's administrative jurisdiction and would serve as a venue to help strengthen cultural exchanges between the two countries.

The museum will go operational by the beginning of next year.

In the history of Ethiopian painting Gebrekristos Desta stands out to be a pioneer in introducing abstract art. In 1965, he won recognition as a critical force in introducing non-figurative art to Ethiopia by receiving the Haile Selassie I Prize Trust Award, according to an article posted on WorldPress.com.

The late artiste died in U.S.A. where he lived in exile from the former Derg regime. 

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