Hernán Pérez de Quesada and a small group of Spaniards in search of the Casa del Sol, the House of the Sun (rumoured to be made of gold) came across the Valle de los Cercados. They called this valley thusly because the indigenous Chitareros encircled their bohíos (huts) with cane poles. Upon hearing of this discovery, Gonzalo Suárez Rendón, Governor of Tunja and originally from Málaga, Spain, ordered Jerónimo de Aguayo to establish a settlement there. On 10 March 1542, this Málaga was founded and named in honor of Suárez Rendón's hometown. In 1549, with the creation of Pamplona, Málaga fell under its jurisdiction. In the present era, paramilitary forces entered Málaga around 2000, causing an exodus of the population. Colombian military entered approximately three years later, securing the town. The people have since returned, once more making it vibrant.

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