Kostroma is located to the north of Moscow. Its inland location made it perfect location for retreat from the enemies who besieged Mosow. Grad dukes of Moscow used it for this purpose in 1382, 1408, and 1433. In the 16th century, Kostroma had shown a spectacular economic growth which may be attributed to newly-established trade connections with English and Dutch merchants through the northern port of Archangel. Kostroma has witnessed some of the most dramatic events during the "Times of Troubles." The city was twice ravaged by the Poles. It took a 6-month siefe to overtake the resistance which fortified in the Ipatievsky Monastery.

Kostroma was a home to Ivan Susanin who became a symbol of the city's resistance to foreign invaders. Ivan, who was just a local peasant, approached the Poles and suggested on showing them a hidden path that would enable them to attack the Russians from behind. Ivan led a large group of Poles deep into the woods from where they had never found their way out (and neither did Ivan)

The first tsar in the Romanov family lived in the Ipatievsky monastery and it was here that and emissary from Moscow offered him the Russian crown in 1612.