In Malay, the word "Kampung" actually means "village or settlement" and "Glam" is the name of a particular tree, which grew in abundance here during the early period of Singapore. When the British etablished themselves in Singapore in 1819, Kampong Glam was designated to the Sultan of Singapore (Sultan Hussain Shah) to be his enclave. A palace or "Istana" was built for him here and his enclave extended outward beyond this residence, in a wide area bounded from the Rochore river (presently Rochore canal) and transverse from what is now Rochore Road up to Jalan Sultan. Sir Thomas Stamford Raffles set aside Kampong Glam for the Malays during his time of Governance.

To this day, Kampong Glam remains as a place of Malay-Arab influence. Kampong Glam is part of the Malay community and is a place rich in the Malay culture and way of life. One can go to Kampong Glam to learn more and be educated about the Malay community, and in doing so, result in unity among the communities.

Many Arab immigrants came to Singapore with Sir Stamford Raffles and settled in the area around the Sultan Mosque. Therefore, the street was named as Arab Street.

It is named after the capital of Afghanistan, Kandadar. Muslims come here during the fasting month of Ramadan to break their fast.

This reflects the strong influence of the Arabs in Kampong Glam. Hence it is named Baghdad Street.