Umtali was founded in 1897 as a fort, located about 8 km from the border with Mozambique. It is sometimes also the “Gateway to the Eastern Highlands”. In 1891, the town was moved to a site known as Old Mutare. In 1896 the construction of the railway between Beira and Bulawayo led to the town being moved a third time so that it was closer to the railway line.
The town was granted city status in 1971 although the European population in Umtali dropped from 9,950 in 1969 to 8,600 in June 1978.