Tourism’s critical role in shaping regional prosperity took centre stage at the Southern NSW & ACT Tourism Roundtable.

Hosted by Regional Development Australia Southern NSW & ACT, the forum brought together tourism leaders, operators and stakeholders to chart the future of the region’s visitor economy.

Experts from across Australia explored challenges and opportunities shaping regional tourism – from housing and workforce attraction to transport, infrastructure and climate change – and identified practical solutions for sustainable growth.

Destination NSW Acting General Manager Consumer Marketing Stephen Mahoney delivered a keynote address outlining the NSW Government’s bold new roadmap for visitor economy growth – the NSW Visitor Economy Strategy 2035 – and the vital role regional NSW will play in its success. 

Across NSW, the visitor economy contributes around $56 billion a year and supports more than 150,000 jobs, with regional NSW accounting for more than 40 per cent of that value.

“Tourism helps sustain local jobs and small businesses, it strengthens community pride, and it celebrates the stories that make every town and region unique,” Mr Mahoney said.

“And it’s one of the most effective ways to diversify regional economies. Tourism generates income that stays local – in cafés, cellar doors, farm stays, galleries and accommodation – even servos! 

“It creates opportunity where other industries may be slowing, and it drives new investment and infrastructure that benefit both residents and visitors alike.

“That’s why, when we talk about regional development in NSW, we can’t separate it from the visitor economy. They are one and the same story of growth, resilience and identity.”

The NSW Visitor Economy Strategy 2035 sets an ambitious goal: $91 billion in visitor spending by 2035 – with nearly half, $44 billion, expected from regional NSW.

Major infrastructure projects will underpin this growth. The opening of Western Sydney International Airport in late 2026 will reshape how visitors arrive and disperse across NSW, while regional airports – from Newcastle to Ballina/Byron – are strengthening routes and partnerships to attract new carriers and services.

The state’s target to deliver 40,400 new accommodation rooms by 2035 will also create investment opportunities across the regions.

While infrastructure is a foundation of the Strategy, its emphasis on experience will drive success.

“Visitors don’t travel to tick boxes – they travel to feel something," Mr Mahoney said.

"They are seeking nature, authenticity, creativity and connection. They want to slow down and immerse themselves in place – and that’s where regional NSW shines."

Experience-led tourism sectors delivering visitor economy growth for regional NSW include:

  • Agritourism – from farm stays and producers’ markets to regional food trails that tell the story of the land
  • Wellness and nature-based experiences – walking trails, retreats, and eco-lodges that provide rest and reconnection
  • Aboriginal tourism – sharing the world’s oldest living culture through story, art and Country
  • Arts and culture – the creative festivals, regional galleries and music events that breathe life into main streets and attract new audiences.

“Take the Wanderer Festival on the Far South Coast, which brings thousands to Pambula for three days of art, music and community,” Mr Mahoney said.

“Or the Mundi Mundi Bash in the outback, now attracting more than 10,000 visitors and putting Broken Hill firmly on the map.

“Closer to Sydney, the Orange FOOD Week and Hunter Valley Wine and Food Festival are perfect examples of how food tourism connects people to place – and supports local growers, winemakers and artisans.

“These experiences make regional NSW distinctive, desirable and competitive.”

Mr Mahoney highlighted the importance of partnerships and local leadership played in turbocharging tourism growth.

Destination NSW is working closely with the seven Destination Networks, local councils, and Regional Development Australia committees to align tourism with broader regional investment and employment priorities.

“Together, we’re delivering Destination Management Plans that align with the Visitor Economy Strategy 2035 and set a clear roadmap for each region’s visitor economy,” Mr Mahoney said.

“And we’re supporting capability development through programs such as Destination NSWs NSW First Program and support for the annual Local Government NSW Destination and Visitor Economy Conference, which equips councils to play an active role in growing tourism sustainably.”

Access to timely and granular data is another tool shaping regional visitor economy development.

“Through partnerships with Tourism Research Australia, CommBank iQ, and other analytics providers, Destination NSW is building an evidence base that helps regions make better investment and marketing decisions,” Mr Mahoney said.

“We can now see, in a timely manner, where people are travelling, what they’re spending on, and what drives their choices.

“That means greater potential for smarter targeting of infrastructure, more responsive event planning, and more accountable delivery against local priorities.”

Regional NSW has long been the heart of the state’s visitor economy – and, as Mr Mahoney noted, it’s poised to become its growth engine.

“Our challenge – and our opportunity – is to make sure every visitor to regional NSW leaves as an ambassador,” he said.

“Because when they return home talking about the warmth of a welcome in Dubbo, the food and wine in Mudgee, the festival in Byron or the landscapes of the Snowy Mountains – they’re not just talking about a trip. 

“They’re telling the story of who we are as a state. If we get this right, regional NSW won’t just be part of the state’s tourism story – it will define it.”

Image courtesy Camilla Duffy Photography.