[1] Montenegro (literally: Black Mountain) was named for the dark green color of the trees that originally covered the hill above the current-day site of the township, which was visible from other parts of the region as it rose above the surrounding guadua forests.

The rural landscape of Montenegro is typical of the coffee zone, and the hotel and posadas infrastructure has increased dramatically in the 2000-2005 period.

It is an important tourism and convention destination for a relaxed vacation featuring nature-watching and cultural trips (related to the coffee-growing techniques).

[3] The first people to arrive in Montenegro in the modern era were treasure hunters (Spanish: guaqueros), attracted by reports of gold artefacts in indigenous burial sites in the area.

One of the earliest settlers was María Antonia "Toñíta" Granada, a widow originally from Pácora, Caldas.

Miguel Duque Betancourt bought the land for the township for a price of 300 pesos, from Agapito Herrera, the municipal judge in Salento.