The name Karmen originates from the Latin word "carmen," which means "song" or "poem." It is derived from the ancient Roman goddess Carmenta, who was associated with childbirth, prophecy, and poetic inspiration. The name gained popularity during the Middle Ages when it was adopted as a Christian name in honor of the Virgin Mary, particularly in Spain and Portugal.

In its earliest recorded use, the name Karmen appeared in the 9th century as "Carmena" in a manuscript from the Monastery of San Millán de la Cogolla in Spain. It was also found in the 11th century as "Carmina" in the Codex Calixtinus, a medieval manuscript from the Santiago de Compostela Cathedral in Galicia, Spain.

One of the earliest notable figures with the name Karmen was Carmina Burana, a 13th-century manuscript containing a collection of secular poems and dramatic texts written in medieval Latin and Middle High German. This manuscript is considered a valuable source of information about medieval student life and culture.

In the 16th century, the Spanish mystic and writer Carmelite nun, Saint Teresa of Ávila (1515-1582), popularized the name Karmen in Spain. Her writings and reforms within the Carmelite Order had a significant impact on the Catholic Church during the Counter-Reformation.

Another notable figure was Carmen Sylva (1843-1916), the literary name of Elisabeth of Wied, who was the Queen consort of Romania from 1881 to 1914. She was a prolific writer and published works under her pen name, which means "Song of the Forest" in Romanian.

In the 20th century, the name gained further recognition with the opera "Carmen" by Georges Bizet, which debuted in 1875. The opera's titular character, Carmen, a passionate and free-spirited gypsy woman, became an iconic figure in popular culture.

Other famous individuals with the name Karmen include Carmen Martín Gaite (1925-2000), a Spanish novelist and essayist known for her explorations of women's experiences and the Franco regime; Carmen Miranda (1909-1955), a Brazilian samba singer and actress renowned for her flamboyant costumes and performances; and Carmen Calvo (born 1957), a Spanish politician who served as the First Vice President of the Government of Spain from 2020 to 2023.