Babahoyo, founded September 30, 1948, by legislative decree, is the capital of the Los Ríos province of Ecuador. Its population is cited around 158,000. It is bordered by two rivers, the San Pablo and the Caracol, which join to form the Babahoyo River. This meets the Daule River to form the Guayas River, which runs to the Pacific Ocean at the Gulf of Guayaquil. A processing and trade center for the surrounding agricultural region, the city handles rice, sugarcane, fruits, balsa wood, and tagua nuts (vegetable ivory). Rice and sugar are also milled here.
The city is located in on the left bank of the San Pablo River, which unites in its estuary with the Catarama River to form the Babahoyo River.