Itesiwaju local government was created on 4th December 1996 by the federal Military Government headed by General Sanni Abacha. It formed part of the additional 183 local governments created then by the administration which brought the total numbers of local governments in the federation to 774.

The local government has its administrative headquarters located at Otu, a distance of 40 kilometers from Itesiwaju, the parent local government from which Itesiwaju local government was carved out.

The name “Itesiwaju” is not an acronym, but a word in Yoruba which could be translated as, “progress” or onward movement” while some local government in the federation adopted acronyms, geographical locations or their main principal towns as mere mark of identity. Itesiwaju reflects the strong belief of the people on the ontological significance of name. It represents the desire of a people yearning for rapid development of their area.

Although, the inhabitants of the local government are predominantly Yoruba people, however, other people of diverse ethnic backgrounds abounds. The various other tribes that could be found in the council area include, Hausa, Fulani, Igbo, Idoma, Egede and other African countries nationals such as Ghanaians, Cotonou and Togolese. They engage in cattle rearing, farming, mining and other commercial activities.