New South Wales is setting a new standard for Australia’s tourism industry, unveiling a bold and transformative strategy to grow the state’s visitor economy to an unprecedented $91 billion by 2035. This ambitious plan, outlined in a recent review of the NSW Visitor Economy Strategy, aims to redefine the tourism landscape with sweeping developments in aviation, hospitality, and experience-led attractions that will cement NSW as a global destination.
A Visionary Plan to Drive Regional Prosperity and Employment
The revised strategy, driven by the Minns Government, projects a staggering 40% increase in visitor expenditure compared to previous targets. The state aims to generate up to 150,000 new jobs over the next decade, which will profoundly impact regional and metropolitan communities. Approximately 48% of the anticipated $91 billion revenue is expected to be spent in regional NSW, equating to a significant $44 billion boost for local economies.
Premier Chris Minns emphasized the transformative potential of this plan, stating, “From pristine beaches to lush national parks, New South Wales is an unbeatable hotspot for tourists across the globe. This review shows there are opportunities to grow it even more, partially due to more airports opening and more flight routes being secured.”
The NSW visitor economy is already Australia’s most vital, achieving a record $53 billion in FY24 and employing nearly 300,000 workers. With this new strategy, the Minns Government is pushing to make tourism a cornerstone of the state’s economic framework, further solidifying its position as a premier travel destination.
A New Era in Aviation Capacity: The Gateway to Growth
One critical component driving this growth will be a massive expansion in aviation capacity. By 2025, the new Newcastle Airport international terminal will be operational, adding millions of additional airline seats. This will be complemented by the opening of the Western Sydney International Airport in 2026, increased capacity at Sydney Airport and enhanced cross-border access through Canberra and Gold Coast Airports.
NSW also capitalises on recent airline route developments, including the new Turkish Airlines service to Sydney, providing more excellent European connectivity. Expanding international routes will heighten competition, making it easier and more affordable for global travellers to choose NSW as their preferred destination.
Minister for Jobs and Tourism John Graham highlighted the impact of these developments, saying, “This is a very exciting moment for the NSW visitor economy. We’re taking a sector that is already very strong and raising our ambitions even higher. To reach this ambitious new target, we need to build more hotel rooms, attract and train more workers, and create and market the experiences that connect visitors with the culture, nature, and people of NSW.”
Tackling Infrastructure and Workforce Challenges Head-On
The state must address several critical challenges outlined in the review to achieve this monumental growth. Among the most pressing are the need for 40,000 additional hotel rooms—a 41% increase from current availability—and a significant shortage of skilled tourism workers, particularly in key roles such as tour guides, chefs, and hospitality staff.
Furthermore, the review emphasizes the need for expanded business event facilities in Sydney, Western Sydney, and high-priority regional areas to support the expected influx of corporate travellers. The Minns Government has already started addressing these gaps, allocating $1.5 million in funding for Business Events Sydney in the upcoming financial year.
Strategic Pillars for a Tourism Revolution
The NSW Visitor Economy Strategy is built around several key pillars that aim to elevate the state’s standing on the world stage. These include:
- Experience-Driven Tourism: The strategy will focus on delivering world-class, authentic visitor experiences that highlight NSW’s unique blend of nature, culture, and adventure.
- Celebration of First Nations Culture: A concerted effort will be made to integrate and promote First Nations stories and businesses as a core element of the visitor experience.
- Accommodation Expansion and Quality Enhancement: Investments will be made to increase accommodation options, particularly in Greater Sydney and key regional areas, ensuring a diverse and high-quality range of lodging options for travellers.
- Aviation and Accessibility: Enhancing aviation capacity in domestic and international markets will remain a priority, ensuring visitors have seamless access to NSW’s myriad attractions.
- Business Events Leadership: NSW will aim to dominate Australia’s business events sector, positioning itself as the go-to destination for high-profile conferences and conventions.
- Please focus on the International Education Sector. As Australia’s top destination for international students, NSW will seek to leverage this advantage further by creating a vibrant and welcoming environment for global talent.
Recognition and Global Appeal
The effectiveness of NSW’s tourism strategy is already being recognized on the world stage. Last week, Sydney was named the ‘Best City in the World’ in the prestigious Condé Nast Traveller UK’s 2024 Readers’ Choice Awards. The accolade cited Sydney’s “unique, indoor-outdoor way of life,” reflecting the strategic emphasis on experience-driven tourism.
The review points out that Sydney’s tourism sector is on track to become one of the most lucrative in the Asia-Pacific region, a testament to its burgeoning appeal. This momentum will be pivotal in achieving the $91 billion target by 2035, ensuring NSW remains at the forefront of global tourism.
A Call to Action: Building for the Future
The Minns Government’s commitment to boosting the visitor economy extends beyond economic metrics. The strategy is rooted in creating a tourism ecosystem that not only attracts more visitors but also enriches the lives of local communities and respects the natural environment.
With the groundwork laid and a clear vision for the future, NSW is poised to set a new benchmark for tourism excellence. As the state gears up to welcome millions more visitors in the coming years, the Minns Government sends a clear message: NSW is ready to lead, innovate, and inspire on the global stage.
For more information on the NSW Visitor Economy Strategy 2035, visit the official NSW Government website.
Written by: Michelle Warner
