It is known for its Bishop's Palace, home to the Bishop of St David's since 1542, when Bishop William Barlow transferred his palace from St David's to Abergwili, re-using the premises of an older college of priests. It was almost completely rebuilt in 1903 following a disastrous fire. It contains the chapel originally added by Archbishop Laud in 1625, when he was Bishop of St David's. In 1974 the old episcopal palace was purchased by Carmarthenshire County Council for use as a museum, whilst a new residence for the bishops, "Llys Esgob", was built in part of the grounds, together with Diocesan Offices - thereby continuing a connection with Abergwili which has now lasted for well over 400 years.
Abergwili has seen a substantial increase in population in recent years with new property developments but has kept its character and rural tranquility.
The village is home to the Carmarthen Quins Rugby Union team, and the Merlins Hill Centre, a farm which has been opened up to the public.
The "Wheat Sheaf" pub in the village is one of the oldest pubs in Carmarthenshire. Around 1850 there was also a pub called the "Albion Inn".
St. David's was rebuilt in 1841 by the vicar, the Rev. Joshua Hughes, on the foundations of a much earlier church. The cost was £1,400, and Hughes was later to become Bishop of St. Asaph.
