This study explores the Olojo Festival in Ile-Ife, Nigeria, as a crucial cultural event with implications for domestic tourism and socio-economic development. Through desk research methodology involving literature review and analysis of official documents and media sources, the study delves into the historical and cultural significance of the festival. The Olojo Festival, rooted in Yoruba mythology, serves as a religious and cultural celebration, honoring the descent of Oduduwa and the creation of the earth. It is positioned as an integral part of Nigeria’s cultural heritage, offering tourists opportunities to experience the rich diversity of Nigerian culture. The study examines the socio-economic impacts of the festival, including local income generation, tradition preservation, economic development, job creation, and community development. Despite challenges such as environmental pollution and overcrowding, the festival’s positive contributions to local economies and cultural preservation are highlighted. Additionally, the Olojo Festival is recognized for its intangible benefits, fostering pride, identity, and unity among the Yoruba people and promoting cultural exchange and dialogue within Nigerian society. Thus, the study advocates for continued support and promotion of the Olojo Festival and similar cultural events as essential drivers of economic growth and cultural resilience in Ile-Ife and beyond because the festival as emerged as a vital platform for promoting domestic tourism, fostering community development, and preserving cultural heritage of the Yoruba people.