Low-dimensional all-inorganic metal halide perovskite (AIMHP) materials, as a new class of nanomaterials, hold great promise for various optoelectronic devices. In the past few years, tremendous progress has been achieved in the development of efficient and stable AIMHP nanomaterials for optical property studies and related applications. Here, we offer a critical overview on the unique merits and the state-of-the-art design of AIMHP using different composition strategies. Then, the effects of material compositions, dimensionality, morphologies and structures on optical properties are summarized. We also comprehensively present recent advances in the development AIMHP nanomaterials for practical applications including solar cells, light-emitting diodes, lasers and photodetectors. Lastly, the critical challenges and future opportunities in this emerging field are highlighted.