Harrismith was founded in 1849 at the initiative of Sir Harry Smith, the Governor of the Cape Colony, after whom the town is named. Initially, the settlement was intended as a strategic outpost to control the region; however, over time, its role changed significantly, transforming the military point into an important civilian center.
The town's development was favored by its excellent geographical location at the foot of the Platberg table mountain on the banks of the Wilge River, which provided residents with water and natural protection. Harrismith became a key transport hub on the busy trade route linking the port of Durban first with the diamond fields of Kimberley and later with the gold mines of the Witwatersrand.
The settlement's economy quickly strengthened thanks to the servicing of transport flows and agriculture, turning the town into a regional center for the wool and livestock trade. Notably, due to its healthy climate and clean mountain air, Harrismith began attracting its first health-seeking travelers as early as the late 19th century, laying the foundation for its appeal as a tourist destination.