diff --git a/README.md b/README.md
@@ -22,7 +22,33 @@ When complete, this project will have Python implementations for all the pseudoc
 ## Python 3.4 and up
 
 This code requires Python 3.4 or later, and does not run in Python 2. You can [install Python](https://www.python.org/downloads) or use a browser-based Python interpreter such as [repl.it](https://repl.it/languages/python3).
-You can run the code in an IDE, or from the command line with `python -i filename.py` where the `-i` option puts you in an interactive loop where you can run Python functions. See [jupyter.org](http://jupyter.org/) for instructions on setting up your own Jupyter notebook environment, or run the notebooks online with [try.jupiter.org](https://try.jupyter.org/). 
+You can run the code in an IDE, or from the command line with `python -i filename.py` where the `-i` option puts you in an interactive loop where you can run Python functions. See [jupyter.org](http://jupyter.org/) for instructions on setting up your own Jupyter notebook environment, or run the notebooks online with [try.jupiter.org](https://try.jupyter.org/).
+
+
+## Installation Guide
+
+To download the repository:
+
+`git clone https://github.com/aimacode/aima-python.git`
+
+You also need to fetch the datasets from the [`aima-data`](https://github.com/aimacode/aima-data) repository:
+
+```
+cd aima-python
+git submodule init
+git submodule update
+```
+
+Wait for the datasets to download, it may take a while. Once they are downloaded, you need to install `pytest`, so that you can run the test suite:
+
+`pip install pytest`
+
+Then to run the tests:
+
+`py.test`
+
+And you are good to go!
+
 
 # Index of Algorithms