The name Ayabaca, also written as Ayavaca, derives from two Quechua roots: aya, related to death, but also to immortality; and huaca connected to sanctuaries and sacred places.

Different places of the province have other evidence of ancient cultures, including petroglyphs (at El Toldo, Samanga), megalithic altars (Chocán, Montero), and remainders of the Qhapaq Ñan or Inca road.

Likewise, in the large mountain area shared by the provinces of Ayavaca and Huancabamba, there is a great assembly of lakes locally known as The Huarinjas or Huaringas.

Its Spanish foundation dates to 1571, when the missionaries gathered the local indigenous population to create the mission village of "Nuestra Señora del Pilar de Ayavaca".

The city has developed as the center of a great religious devotion, dedicated to Jesus Christ under the name of Señor Cautivo (Captive Lord).

The festival of the Señor Cautivo, whose central day is October 13, attracts numerous pilgrims from many different zones of north Peru, as well as from Ecuador and Colombia.