Inter Press Service (IPS) was set up in 1964 as a non-profit international cooperative of journalists. Its founders were Roberto Savio, an Italian freelance journalist, and Pablo Piacentini, an Argentinean political scientist who was then a student in Rome. Savio served as Director General of IPS until 1999 and is now the agency's president emeritus. Piacentini served the organisation in various capacities and is currently editor of the columnist service.

In its early days, the primary objective of IPS was to fill the information gap between Europe and Latin America after the political turbulence following the Cuban revolution of 1959. The agency’s network grew steadily and expanded to include Asia and Africa. The objectives broadened – to cover news from the "Third World", give a voice to the voiceless, promote information on development issues, and help create a better balance and flow of international news.

In 1994, in order to strengthen its non-profit identity, IPS changed its legal status to that of a ‘public-benefit organisation for development cooperation’, open to journalists, professional communicators and bodies active in the fields of information and communication.