The Li River originates in the Mao'er Mountains in Xing'an County and flows in the general southern direction through Guilin, Yangshuo and Pingle. In Pingle the Li River merges with two other streams, and continues south as the Gui River, which falls into the Xi Jiang, the western tributary of the Pearl River, in Wuzhou.

The upper course of the River Li is connected by the ancient Lingqu Canal with the Xiang River, which flows north into the Yangtze; this in the past made the Li and Gui Rivers part of a highly important waterway connecting the Yangtze Valley with the Pearl River Delta.

The 437-kilometer course of the Li and Gui Rivers is flanked by green hills. Cormorant fishing is often associated with the Lijiang (see bird intelligence). Its unusual karst topography hillsides have often been compared to those at Halong Bay, Vietnam.

Along the 100-kilometer stretch of the Li River, mountain peaks rise into the sky. It is one of China's most famous scenic areas, featured in many scroll paintings.

Visitors to Yangshuo can swim in the Li River or the cleaner Yu Long 遇龙河 (Dragon River), climb one of many nearby karst peaks, hire a bicycle for a cycling trip through the karst scenery, arrange a sightseeing trip on the Li River by bamboo raft or cruise boat, or visit a number of local cave systems, including a butterfly cave.