Chaudhary Muhammad Ali was born on July 15, 1905 at Jallundur. He did Masters in Science in 1927 from the university of Punjab. After Post Graduation he joined Indian Audit and Accounts Service in 1928 and was appointed as Deputy Accountant General to Bahawalpur state in 1932. In 1936, he joined government of India as private secretary to Finance Minister, Sir Grigg. In 1945 he joined the Department of financial advisory services for war and supply, a post never before held by an Indian.

During the drafting of the partition plan, Ch. Muhammad Ali was one of the two secretaries to the partition council, presided over by Lord Mountbatten.

When Pakistan emerged as a New Islamic Republic on the Globe he joined the newly formed Government of Pakistan as secretary of General and played a major role in it's organization. In 1951, he became Finance Minister and in 1955 Prime Minister of the country. Under his leadership the Constituent Assembly adopted the constitution of the Islamic Republic of Pakistan.