The aim of this study was to outline the origin of cultural psychiatry, illustrating the nomenclatural development of this discipline, its fruitful affiliation with other disciplines and the continuously widening process of its field of activity. One of the main interests of cultural psychiatry is to investigate the relation between culture and psychopathology, and the impact of biological, psychological, social and cultural factors on the manifestation of the clinical picture. The study discusses the related diagnostic difficulties and the different opinions based on the literature. By analyzing the influence of culture on the indigenous healing practices, culture influenced unique therapies and modern psychotherapies, this paper intends to underline that during the complex process of psychotherapy the cultural factor has to be taken into consideration. In the world of increasing migratory flows and globalization the importance of cultural dimension in the domain of mental health emerged. The significance of cultural competency in the clinical practice has to be emphasized in order to refine the diagnostic and therapeutic processes and to facilitate the well-being of the individual belonging to a specific cultural environment.