Originally known as Las Cañitas, the town was designated a municipality in 1866 and renamed in honor of Francisco del Rosario Sánchez, one of the founding fathers of the Dominican Republic.

Sánchez initially thrived as a small town but gained significant importance with the introduction of a railway linking it to La Vega in the Cibao region.

Over time, the Yuna River has deposited sediment into Samaná Bay, restricting access to the port to smaller vessels.

Historically, fishing played a significant role in the local economy, but its importance has diminished over time.

Today, agriculture dominates, reflecting the municipality's adaptation to changing economic conditions.