Total tourist visitor nights

IBISWorld forecasts the total number of tourist visitor nights to rise by 3.8% during 2025-26 to a total of 745.9 million nights. Domestically, local travel volumes will likely rise, fuelled by a stabilising disposable income and cost-of-living pressures. The number of international tourist visitor nights is also projected to inch upwards in 2025-26, thanks to robust demand from international visitors from China. International travel to Australia has recovered strongly since the easing of international border restrictions in February 2022 and is expected to continue following this upward trend.

Visitor nights for people travelling for a holiday, to visit friends or relatives, or for educational purposes have surged, with Australia increasingly becoming a popular tourist destination for overseas visitors over the past few years. In addition, the expansion of overseas airlines into the Australian market and the depreciation of the Australian dollar made it more affordable for visitors to come to Australia. According to data from the TRA, Australia's top 5 largest sources of international visitor nights were from China, India, United Kingdom, New Zealand and Japan in 2024-25.

The pandemic and extended periods of government-imposed lockdowns and state border controls have constrained tourism over the past few years, contributing to the low base in 2020-21. According to TRA, the leading reason for domestic travel among Australians in 2025 was the cost-effective appeal of domestic travel over international travel. TRA's data also revealed that Australians' most common travel motivation is holidays, which accounted for 44% of domestic overnight trips in 2025. This was followed by visiting friends and relatives, business trips and other purposes, like education. Overall, IBISWorld forecasts total tourist visitor nights to climb at a compound annual rate of 17.7% over the five years through 2025-26, due to the low international tourist visitor nights in 2020-21.