The jewellery is being displayed in 29 showcases in the same hall which was used for the same purpose last time. The collection has 123 sets with total 348 pieces.
Last time it was displayed from November 24, 2001 to June 30, 2002 attracting 2.35 lakh visitors to see the priceless jewellery.
The Jacob diamond whose price in the market is estimated at Rs 600 crore is being placed in the show case opposite to the entrance.
Mir Osman Ali Khan, the Nizam VII, found the Jacob lying on the slipper of his father Nizam VI after the latter's death. The Nizam VII used the Jacob as a paper weight till he breathed his last.
The total value of the priceless jewellery is estimated to be between Rs 4,000 crore and Rs 6,000 crore. Security in the museum has been enhanced following the high-alert orders after the recent terrorist strike in Bangalore.
The museum authorities do not want VIPs' movement to the museum. "We have invited limited number of VIPs for the inaugural function due to security reason," a senior officer of the museum said.
The Salar Jung Museum derives it's name from the title 'Salar Jung' given to the erstwhile Prime Ministers to the Nizams of Hyderabad.