Iloilo, chartered city in the western Philippines, on the island of Panay. Iloilo, which is located at the mouth of the Iloilo River, is the capital of Iloilo Province. The city is in an agricultural region where sugar and rice are produced and which has hardwood forests and stone quarries. The principal industries are sugar refining and the production of handwoven textiles, especially piña cloth. Iloilo is an important seaport and commercial center. The harbor is protected by Guimaras Island, which lies across the strait from the city. Central Philippine University (1905) is located at Iloilo. The city was founded in 1571 and became the capital of the province in 1688. Population (1999 estimate) 363,778.