The city of Karakol, formerly known as Przhevalsk, ranks fourth in size among the settlements of Kyrgyzstan. It was founded on July 1, 1869, as a military-administrative center on the caravan route from the Chui Valley to Kashgar. Staff Captain Baron Kaulbars was tasked with finding a suitable location for the new city.

On March 23, 1889, by order of Tsar Alexander III, the city of Karakol was renamed Przhevalsk in honor of Nikolai Mikhailovich Przhevalsky, who died in Karakol from typhoid fever while preparing for his fifth expedition. By his wish, he was buried on the shores of Issyk-Kul.

The city had a strict rectangular layout, and each developer was required to plant a garden and an alley in front of their house. Until 1887, mainly adobe houses were built here, but after the strong earthquake of 1887, wooden houses with carved porches began to be constructed, giving the city the appearance of the central Russian region.

Przhevalsk stood out among the cities of Central Asia for its cultural life. It was the starting point for numerous expeditions to Central Asia, including those led by renowned scientists and travelers. In 1887, the first meteorological station in modern Kyrgyzstan was opened here, as well as the first public library. In 1907, at the initiative of Staff Captain V. A. Pyanovsky, a horse breeding farm was established.

Economically, the city developed as a trade and administrative center for the entire Issyk-Kul region.