The last three decades have witnessed rapid progress in understanding the molecular biology of Mycobacterium leprae. Following the availability of complete genome sequence of leprosy bacillus in 2001, things have drastically changed. With the information about genetic structure, several techniques have been developed for diagnosis, molecular epidemiology and also detection of drug resistance. With the decline in the prevalence of leprosy globally, there has been some reduction in interest in the molecular methods for diagnosis, yet molecular techniques for studying the transmission dynamics and detection of drug resistance continue to be relevant. Knowledge about complete genome sequence has made it possible to undertake studies that can improve our understanding of the structure and function of this enigmatic organism. Newer information emerging about biology of M. leprae would provide insight into mechanisms of its survival and persistence in host and is likely to lead to better diagnostics and also therapeutics for mycobacterial infections in general.