 The town is situated on the banks of the River Ksani, height above sea level - 800 m.

The village of Akhalgori was first mentioned in the 18th century by Prince Vakhushti of Kartli in his work "The Geographic Description of Georgia".The name derives from the Georgian words meaning "new" (ახალი/akhali) and "hill" or "mountain" (გორა/gora).Before Sovietization of Georgia in 1921, Akhalgori was the residence of Georgian Noble Eristavi Duce.