Mooi River takes its name from the Afrikaans. The early settlers were so impressed by the natural beauty of the river that they called it 'mooi' (pretty). During the second Boer War, Mooi River was the scene of minor engagements and a 1500 bed military hospital was established. Stretches of the Mooi River offer boating facilities whilst the upper reaches of the Mooi are a fly fisherman's paradise.
Further upstream, the Mooi River Falls are a marvelous site when the river is in flood. Outside the town, the Craigieburn Dam has camping sites and picnic spots. The predominant occupation in the area is dairying and stock farming.