Diffuse solar radiation is an important, but understudied, component of the Earth’s surface radiation budget, with most global climate models not archiving this variable and a dearth of ground-based observations. Here, we describe the development of a global 40-year (1980–2019) monthly database of total shortwave radiation, including its diffuse and direct beam components, called BaRAD (Bias-adjusted RADiation dataset). The dataset is based on a random forest algorithm trained using Global Energy Balance Archive (GEBA) observations and applied to the Modern-Era Retrospective analysis for Research and Applications, Version 2 (MERRA-2) dataset at the native MERRA-2 resolution (0.5° by 0.625°). The dataset preserves seasonal, latitudinal, and long-term trends in the MERRA-2 data, but with reduced biases than MERRA-2. The mean bias error is close to 0 (root mean square error = 10.1 W m−2) for diffuse radiation and −0.2 W m−2 (root mean square error = 19.2 W m−2) for the total incoming shortwave radiation at the surface. Studies on atmosphere-biosphere interactions, especially those on the diffuse radiation fertilization effect, can benefit from this dataset.