Tourism in New South Wales soars, exceeds $50 billion in visitor expenditure, ET TravelWorld

The tourism sector in New South Wales (NSW) has reached unprecedented heights, surpassing USD 50 billion in visitor expenditure for the first time and leading Australia‘s post-pandemic recovery.

Data from Tourism Research Australia (TRA) reveals that domestic and international travellers injected a remarkable USD 51.4 billion into the NSW visitor economy by the end of December 2023.

Notably, NSW welcomed the highest number of international visitors, accumulated the most visitor nights, and boasted the highest visitor expenditure nationwide. The international segment contributed a substantial USD 11 billion to the visitor economy. Additionally, NSW experienced the most substantial growth in international visitor numbers, nights, and expenditure among all states and territories, with an increase of 1.8 million visitors, 42.8 million nights, and USD 6 billion in expenditure.

Despite the lingering impacts of the COVID-19 pandemic, international arrivals surged to 78 per cent of pre-pandemic levels, with visitor nights and expenditure reaching 90 per cent and 96 per cent respectively, compared to 2019 figures. Key international markets such as the United States, New Zealand, and the United Kingdom retained their positions as top contributors to NSW tourism, with China showcasing a robust recovery as the fourth largest source market. Notably, South Korea demonstrated the fastest visitor growth, while Indonesia and Singapore excelled in nights spent and expenditure, respectively.Sydney, as the hub of NSW tourism, solidified its status as the premier visitor destination among Australian capitals in 2023. It attracted 53 per cent of all international visitors to Australian cities, resulting in 73.1 million visitor nights and an estimated expenditure of USD 10 billion. These figures accounted for 40 per cent and 44 per cent of total nights and expenditure across Australia, respectively.

On the domestic front, NSW experienced a significant surge of 9.3 per cent in domestic visitors, propelling domestic expenditure to a record high of USD 40.5 billion. Regional NSW emerged as a standout, showcasing its natural attractions and experiences, leading regional Australia in domestic daytrip visitor levels.

Nature-based activities and caravan and camping holidays emerged as major attractions, with NSW retaining its position as the top caravan and camping destination in the country. Moreover, over 15 million overnight visitors indulged in nature-based activities, contributing USD 16.1 billion to NSW’s tourism economy.

Destination NSW CEO Steve Cox lauded these achievements, attributing them to the diverse and unparalleled experiences NSW offers across its regions. Cox emphasized the pivotal role of tourism stakeholders in driving growth and job creation in the state, expressing optimism about Western Sydney’s increasing prominence in the visitor economy, especially with the upcoming Western Sydney International Airport slated to further boost visitation.

International Visitor Highlights:
– 3.4 million international visitors, 87 million visitor nights, and USD 11 billion expenditure in 2023
– Visitations rebounded to 78 per cent of 2019 levels
– Sydney received 53 per cent of all international visitors to Australian capitals
– Top 3 source markets: US, New Zealand, UK
– Fastest recovering markets: South Korea (visitors), Indonesia (nights and expenditure), Singapore (expenditure)

Domestic Visitor Highlights:
– 102.5 million domestic visitors, a 9.3 per cent increase year-on-year
– Record domestic expenditure of USD 40.5 billion
– Sydney attracted 36 million domestic visitors, while regional NSW received 67.5 million
– Nature-based activities and caravan/camping remained popular, contributing significantly to visitor spending.