Archeological findings from Luštica had marked the beginning of the civilization in this region. They originate back from the Neolithic Age and early Bronze Age. Illyrians were the first inhabitants of the town. Commercial opportunities attracted Greek traders in the 5th century B.C. Having defeated Illyrians in the 3rd century A.D. the Roman Empire took over this region. After the fall of the Western Roman Empire, in 476, Byzantium ruled for six centuries. In the 7th century, the Slovenian tribes densely inhabited this region and around the area of today’s Herceg Novi, Dračevica parish was formed. From the 10th century, Dračevica loses its independence, as it became the prey of the Dukes of Zeta, but not for long because the period of the reign of Nemanjić family was coming. Upon the death of Czar Dušan, Dračevica was governed by Duke Vojislav Vojinović, and later on by Balšić family.

The town of Herceg Novi was founded in 1382, when Bosnian ban (provincial lord) King Tvrtko I Kotromanić instituted it in the Bay of Topla, with an intent to give it a commercial, maritime and craft role, and named it Sveti Stefan (St. Stephen).

As one of the youngest cities on the Adriatic coast, it was called Novi (New), Castrum Novum, Castel Nuovo. It acquired its current name during the reign of Herceg (Duke) Stjepan Vukčić Kosača when the town experienced its greatest progress. The Turks conquered it in 1482 and, with a short pause between 1538 and 1539, when it was overtaken by the Spaniards, they ruled for about 200 years up until 1687.

After that, many nations and civilizations dwelled on its soil, leaving deep traces of its history, culture and overall development. After the Turkish rule, the city was conquered by the Venetians, who reigned until the end of the Venetian Republic in 1797. From then on, there were frequent changes in the administration of Herceg Novi.The Austrians ruled until 1806. Hereafter, the administration was overtaken by the Russians, until 1807, and then the French governed until 1814. In the period from 1813 to 1814, the city was temporarily administered by the government of Montenegro and Bay of Kotor. From 1814 to 1918, the city was under the Austria-Hungarian administration.

Then the Serbs, Croats and Slovenians united to form a kingdom, which was many years later called Yugoslavia, and in 1923, the Bay of Boka was annexed to it. After capitulation of Yugoslavia, the city was occupied by the Italians, then the Germans, until its liberation on October 28, 1944. Cultural and historic treasure of the city is kept in a Museum and City Archive, next to Kanli fortress, which has a summer stage.

Town music orchestra exists since 1866. Painting tradition in Boka is very strong, especially in Herceg Novi. It is famous Gallery ‘Josip Bepo Benkovic’, was founded in 1967.