Shahu I was the fifth Chhatrapati of the Maratha Empire founded by his grandfather, Shivaji I. He was born into the Bhonsle family, and was the son of Sambhaji I and Yesubai. At a young age, he was taken into custody at the Siege of Raigad by Mughal emperor Aurangzeb, and held captive by the Mughals. He was released from captivity after the death of Aurangzeb in the hope of engineering an internecine struggle among the Maratha factions of Tarabai and Shahu. Raja Shahu emerged victorious in the bloody Battle of Khed and was crowned as Chhatrapati.

The Maratha Empire, also referred to as the Maratha Confederacy, was an early modern Indian empire and later a confederation that controlled large portions of the Indian Subcontinent in the 18th century. Maratha rule formally began in 1674 with the coronation of Shivaji of the Bhonsle dynasty as the Chhatrapati. Although Shivaji came from the Maratha caste, the Maratha empire also included warriors, administrators, and other nobles from the Maratha and several other castes from what is known today as Maharashtra. The Maratha Kingdom was expanded into a full-fledged Empire in the 18th Century under the leadership of Peshwa Bajirao I.