Originally established in 1875 as a fort by a contingent of the Northwest Mounted Police, Calgary has grown from a frontier settlement to a world class city. The fort was named Fort Calgary, after Calgary Bay on Scotland's Isle of Mull. When Canadian Pacific Railway arrived in Calgary in 1883, the outlook of the settlement immediately improved. Thousands of settlers, businessman and tourists flooded into the area. In 1894 Calgary officially became a city. In the following years the population grew from 1,000 to 3,900. See Calgary Quick Facts for more information.

After the arrival of the railway, the Dominion Government started leasing grazing land at minimal cost (up to 100,000 acres for one cent per acre per year). As a result of this policy, large ranching operations were established in the outlying country near Calgary. Already a transportation and distribution hub, Calgary quickly became the center of Canada's cattle marketing and meatpacking industries.

Between 1896 and 1914 settlers from all over the world poured into the area in response to the offer of free "homestead" land. Agriculture and ranching became key components of the local economy, shaping the future of Calgary for years to come. The world famous Calgary Stampede, still held annually in July, grew from a small agricultural show and rodeo started in 1912 by four wealthy ranchers to "the greatest outdoor show on earth."
Two major oil discoveries sealed Calgary's fate as the "oil and gas capital of Canada" and fueled the city's growth.

• The first occurred in 1914 in the Turner Valley area 30 miles south of Calgary
• The second in 1947 at Imperial Oil's famous Leduc field near Edmonton

The economic booms and busts associated with an oil-based economy had a significant impact on Calgary's development and character as a city. In the years leading up to the deep recession of the early 1980s, politicians and businessmen diversified the economy in an effort to minimize the impact of fluctuating oil prices and build a stronger economic base for the future.

Although agriculture and the petroleum industry continue to play a significant role, Calgary is now home to a wide range of companies involved in telecommunications, environmental sciences, consulting engineering, food processing, finance and advanced technologies.