Katwa from the ancient past was a little habitat at the west bank of river Bhagirathi where the existence of river Ajoy was vanished unto the river Bhagirathi. Katwa has a history of about 500 years. It is believed that the name of Katwa comes from the 
ancient name 'Indranee Pargana' - later - 'Kantak Nagari' and thus finally 'Katwa'. Katwa was the fort area of the Murshid Kuli Khan, Nawab of Bengal. Katwa was invaded by the Bargis (Maratha army lead by Bhaskar Pandit) several times in the middle of the seventeenth century. From June 1702, Katwa became head quarter of Maratha Army. Bhaskar Pandit along with other Maratha officials got assassinated by the Aliwardi Khan, Nawab of Bengal. In December 1745, a battle was fought between Nawab Aliwardi Khan and Raghuji Bhonsle, the Raja of Nagpur, Maharashtra and Raghuji was defeated. During the year 1751, a treaty of peace was signed at Barddhaman where Nawab Aliwardi agreed to pay RS 12.0 Lacks annually to Raja Raghuji as the chauth (tax) of Bengal.
Katwa has witnessed some significant historical events. Lord Gouranga Temple and Madhaitala Ashram are two of such historic monuments where Lord Shree Chaitanya started his divine life after having 'Deeksha' from Pandit Keshab Bharati. Thousands of spiritual minded and history search people from all over the Country and even from abroad are coming every year to touch the blessings of Lord Shree Chaitanya Mahaprabhu.