Nearby towns include Madina Maboule, Koukari, Yoro Sankoule, Sambadian, Djidje Kounda, Afia Seno, Saare Boylii and Kanderi Niana.

Tambacounda was founded by Mandinka settlers of the Jatta (Diatta) family who had been driven out of the valley of the Faleme river by an expanding Bundu in the 18th century.

As of January 2024, however, major upgrades are being done, with plans to relaunch passenger and freight service between Tambacounda and Dakar.

This east–west travel intersects with Senegal's most important route from Dakar to the Casamance region, which is cut off by Gambia.

The road through Tambacounda is the only internal route between the two parts of the country that does not cross the Gambian border.

Tambacounda is also a center for agricultural processing, with millet, sorgum, maize and cotton grown in the dry plains of the region.

In 2003, the iron-framed rail station, the Hôtel de la Gare, and the colonial Préfecture building were placed on Senegal's list of Monuments historiques.