Otago is New Zealand's first university, having been established in 1869. Otago has prided itself on being a research-led university with an international reputation for excellence in the 150 years since. In the QS World University Rankings for 2020/21, it is placed 184th overall and in the top 100 in 15 subject areas.

Governor George Bowen granted his consent to the Otago Provincial Council's University of Otago Ordinance on June 3, 1869, allowing New Zealand's first university to be established. To fund the new institution, the council set aside 100,000 acres (40,500 ha) of "pastoral land of a quality not necessary for settlement." to fund the new institution.

Over 2,500 international students from over 100 countries study at Otago. There are 14,782 students enrolled as undergraduates. Female students account for 60% of the student body. With 72.9 percent Europeans, 11.0 percent Maori, 20.0 percent Asian, 5.5 percent Pacific, and 3.6 percent Middle Eastern students, the school body is remarkably diversified.

The University now offers 200 undergraduate and postgraduate degree, diploma, and certificate courses throughout its campuses, with over 21,000 students (by headcount) and nearly 4,000 full-time equivalent (FTE) personnel.

On and around the Dunedin campus, Otago offers 14 residential colleges, each with its own community feel and distinct features. Every college is: The University campus is within a 15–20 minute walk.