The paper presents the state of development and the identity of the city of Biała Podlaska using the analysis of literature and official documents of the municipal authorities. The opinions of 316 PSW students about the city’s image and identity were also presented. The research revealed that the city’s image is strongly determined by its location near the state border and the presence of academic centres in the region. The functioning of universities affects not only the city, the surrounding towns of the municipality, but also the entire region and other places of residence and employment of graduates. The research corroborated the hypothesis that the way in which students perceive the city is important for the further development of the city.