Aaigem is located north of the Flemish Ardennes, a hilly region, and is also a part of the Denderstreek.

Since the valley is characterized by low wet land, construction development is rather limited there.

The highest point within Aaigem is 77.8 meters above sea level, and is located in Opaaigem.

The first part of the name "Aaigem" is commonly assigned to the Germanic name of Ago, a currently unknown person.

In its totality, the compound Agingahaim meant 'residence of the followers or tribal members of Ago'.

From around 1100, the church of Aaigem was property of the Anchin Abbey (in Pecquencourt, near Douai in northern France).

The limited rural industry that came into existence in the 19th and 20th century, such as a number of local dairy farms, have not survived.