Air passenger movements through capital city airports

IBISWorld forecasts the number of air passenger movements through capital city airports to increase by 3.8% during 2025-26, to 136.7 million passenger movements. Robust international and domestic travellers demand have lifted air passenger movements. International travel visitors in particular rose 12.5% between July and December 2025, over the same 6-month period in 2024-25. Increased Chinese tourism and improved airlines capacity have supported this trend. Robust domestic demand has also supported number of passenger movements as interstate travel remains an affordable alternative amid cost-of-living pressures. However, growth rates have stabilised, owing to the tourism industry's gradual return to pre-pandemic levels after the rapid rebound recorded over the three years through 2023-24.

Due to the large size of Australia's capital cities relative to the national population, the eight capital city airports make up the vast majority of total air passenger movements in the country. Sydney, Melbourne, Brisbane and Perth constitute around 87.9% of capital city air passenger movements in 2024-25. This weighting reflects the large populations of these four cities and their positions as leading business and tourism hubs.

Air passenger movements have risen rapidly since the historic lows of 2020-21, after international air travel was halted by the Federal Government due to the pandemic. Domestic air travel volumes also sharply declined due to state border closures. Pent-up demand for leisure and business travel, along with a recovery in international tourism, has driven growth. By 2025-26, passenger movements are set to surpass 2018-19 levels for the first time, resulting from the rebound in travel activity and inbound tourism and growth from population increases. The appreciation of the Australian dollar has limited growth in international arrivals, as travel to Australia has become relatively more expensive. IBISWorld forecasts the number of air passenger movements through capital city airports to climb at a compound annual rate of 35.0% over the five years through 2025-26.