Aussies are ditching Europe in droves - here's where they're travelling instead
Nearly one in three international trips taken by Aussies in 2025 will be to Southeast Asia, while Europe is falling out of favour with Australian travellers, according to new research.
Travel to Southeast Asian destinations like Thailand, Vietnam, Indonesia, and Malaysia is expected to surge by 42 per cent this year, says Travel Insurance Australia, with the region is set to attract 4 million Australian travellers this year.
Japan, Hong Kong, and China will see the highest growth in Aussie visitors as individual destinations, with Japan in particular projected to see a 34 per cent rise.
"Aussie travellers are prioritising value over expensive long-haul trips," Travel Insurance Australia CEO Shaun McGowan says.
"They don't want to take extended time off work to visit Europe or the US, only to battle jet lag for weeks and blow their budget in destinations where their dollars don't stretch as far," he says.
He says the cost of living crisis is a big reason for this, with Southeast Asia offering similar experiences to Europe at a fraction of the cost.
Here are the top destinations taking over from some of their 'European equivalents' this year.
10. Jakarta, Indonesia → Madrid, Spain
Jakarta and Madrid share a dynamic energy, historic landmarks, and a thriving nightlife scene.
Both cities are famous for their lively food scenes – Madrid's tapas culture is mirrored in Jakarta's street food hotspots like Sabang and Glodok, where you can feast on satay, nasigoreng, and martabak (thin, crispy pancakes with filling) for a fraction of the price of Spanish tapas.
9. Manila, Philippines → Naples, Italy
Manila and Naples are coastal cities with a rich history, chaotic streets, and some of the best comfort food in the world.
Their Spanish influence is evident in their architecture – Manila's walled Intramuros and Fort Santiago mirror the charm of Naples' Castel dell'Ovo and historic quarters.
And just as Naples is the birthplace of pizza, Manila is known for its iconic dishes likelechón (roasted pig), chicken adobo, and halo-halo (shaved ice and condensed milk on top of all sorts of ingredients).
But in Manila, you can feast on a full meal for the price of a single Neapolitan pizza.
8. Siem Reap, Cambodia → Athens, Greece
For history lovers, Siem Reap and Athens are both home to legendary ancient ruins.
Angkor Wat's breathtaking temples parallel Athens' Acropolis, while both cities offer a deep cultural heritage, traditional markets, and warm hospitality.
Whether you're exploring Greek tavernas or enjoying Khmer street food, these cities bring history to life at every turn – but in Cambodia, your dollars will buy you a lot more beers!
7. Kuala Lumpur, Malaysia → Milan, Italy
Kuala Lumpur and Milan share a love for fashion, luxury shopping, and stunning architecture.
The Petronas Towers in KL stand tall like Milan's Duomo, while both cities boast vibrant nightlife, a blend of old and new, and some of the best street food and fine dining experiences.
But in Malaysia, you can sip on a rich, creamy teh tarik (hot tea with condensed milk) for a fraction of the cost of an Italian espresso (coffee lovers, please don't come for us!).
6. Shanghai, China → Frankfurt, Germany
Both Shanghai and Frankfurt are major financial hubs with modern skylines and historic districts.
The Bund's waterfront views in Shanghai are reminiscent of Frankfurt's Main River skyline, while both cities feature plenty of skyscrapers, luxury shopping, and a strong business scene.
For history lovers, Shanghai's Yu Garden and French Concession provide a glimpse into the past, much like Frankfurt's Römerberg.
5. Hong Kong → Monaco
Both cities are glamorous, fast-paced, and known for luxury shopping, skyscraper views, and high-end casinos.
Hong Kong's Victoria Harbour and The Peak offer views as stunning as Monaco's Monte Carlo skyline and Port Hercules, both playgrounds for the rich and famous.
4. Phuket, Thailand → Greek Islands
Phuket and the Greek Islands have a lot in common.
Think white sand beaches, turquoise waters, and luxury resorts.
Patong Beach and Bangla Road in Phuket bring the same party vibe as Mykonos' beach clubs and Santorini's cliffside bars, both hotspots for honeymooners and partygoers.
But in Thailand, you can sip a cocktail on the beach for a fraction of the price.
3. Hanoi, Vietnam → Prague, Czech Republic
For travellers chasing charming old-town streets and deep cultural heritage, Hanoi's bustling Old Quarter, colonial buildings, and rich history offer the same appeal as Prague's cobbled streets and Gothic architecture, at a fraction of the cost.
And when it comes to food, pho and street-side coffee in Hanoi are just as iconic as Prague's goulash and local beers.
Hanoi is currently the third most popular destination.
2. Tokyo, Japan → London, UK
Both cities are a mix of old and new. Tokyo's ancient temples like Sensō-ji stand alongside futuristic skyscrapers, just like London's historic landmarks like Westminster Abbey and St. Paul's Cathedral.
Tokyo's bullet trains and metro system rival the London Underground, making both cities incredibly easy to explore.
And when it comes to food, both capitals area dream for foodies – whether it's Tokyo's sushi and ramen joints or London's pub classics, curry houses, and afternoon tea spots.
Japan remains a top choice coming in second place.
