The history of Dilla University is traced back to the year 1996 with its name, Dilla College of Teachers’ Education and Health Sciences. The then Dilla College constituted two faculties Faculty of Teachers’ Education and Faculty of Health Sciences.

However, in 2001, the College was included in the then newly emerging University – Debub University. When Dilla College began its function as a college, it had 12 departments with total student population of less than 400 in a campus that was originally constructed for another purpose.In 2006 Dilla College once again went through another phase and sprung into a full-fledged University by the Council of Ministers Regulation No. 129/06.