An informal slang term for Britain or, in many cases, England, used by British soldiers serving on foreign soil to describe home. Used largely during the First World War, it's origins go back further to British India. It is a corruption of the Hindi word vilāyatī, meaning "foreign," which in turn is related to the Arabic wilāyah, meaning "state" or "province."  The term "foreign" was used for foods and drinks not native to the country. One example of this was soda-water, which was commonly called vilāyatī pānī, meaning "foreign water." 
The transition from vilāyatī to Blighty was not an overnight one with British soldiers beginning to use it during the First World War, eventually coming into common use in France about 1915. It became popular in contemporary music with the popular songs "We wish we were in Blighty" and "Take me back to dear old Blighty, put me on the train for London town." 
- Example: I am looking forward to returning home to Blighty.
- Associated with "a Blighty wound" and "a Blighty one."
References / notes
Glossary of words and phrases
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