Yellow Color: Courage of the townspeople.
Shield: From the Provincial Seal of Ilocos Sur where the town is located.
Three Stars: Islands of Luzon, Visayas, and Mindanao.
Tobacco, Peanut, Rice: Principal products of the Municipality.
1908: Year when Banayoyo became a town.
Carabao Head: Strength and endurance of the people; also for agriculture, source of income of Banayoyo.