Opening remarks – Otago Tourism Policy School

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Source: New Zealand Government

Tēnā koutou katoa. Good afternoon, everyone. 

Thank you, Mayor John Glover, for your opening remarks, and thank you Associate Professor Susan Houge Mackenzie for convening this important event.

It’s a pleasure to be at the 2026 Otago Tourism Policy School here in Queenstown.

Queenstown captures so much of what makes New Zealand distinctive as a destination – our landscapes, our hospitality and our appetite for innovation. 

It’s an ideal place to come together for an important event on the annual tourism calendar.

When I spoke at this event last year, I announced Round Two of the Regional Events Promotion Fund. This Fund was designed to grow visitation beyond the main centres and outside peak season.

12 months on, I’m delighted to report that across two rounds, the Fund has supported more than 280 regional events. That announcement was the beginning of what has been an exciting year for tourism and hospitality.

Overall, tourism growth has been really encouraging over the past 12 months and we’re looking forward to that continuing. 

I now want to briefly address a topic which I know is top of mind for many in the sector – the current conflict in Iran. 

I’m being kept closely informed through the work of the Government’s Ministerial oversight group and by advice from agency officials. 

I can assure you that along with my Ministerial colleagues, I’m carefully monitoring the situation. This includes for the tourism portfolio and also for wider cost of living implications for New Zealanders.

During the ongoing situation, other flight routes, including those through the Americas and different parts of Asia, do continue to be available and visitors continue to come to New Zealand.

Additionally, and as we know the Middle East is a critical aviation hub, it’s been encouraging to see a resumption of flights on the route, with ultra-long haul routes like Auckland prioritised.

My priorities

The theme of this year’s Otago Tourism Policy School: What should tourism look like in 2050? aligns well with my own priorities.

In June last year, I launched the Tourism Growth Roadmap with two clear priorities: 

One:  growing international tourism – by increasing visitor numbers in the short term and doubling the value of tourism exports by 2034. Tourism is our second‑largest export, contributing 7.7 per cent of GDP. 

Growth in this sector is central to the Government’s wider economic objectives. It means more spending in our regions, bookings in our hotels, full tables in our cafes and restaurants and more jobs created. 

Two:  growing the number of New Zealanders working in tourism and hospitality. The latest Tourism Satellite Account shows one in nine jobs are now supported by tourism and hospitality – a clear signal of the sector’s importance to employment and regional prosperity.

Delivering on these priorities requires partnership across central government, industry, local government, iwi and communities to ensure growth delivers value for visitors and residents alike.

Since launching the Roadmap, we’ve focused on boosting demand, while also undertaking a review of the tourism system to understand where supply‑side constraints and opportunities lie. This Review has been shaped by extensive engagement with the sector, including many of you here today.

So, this year’s theme What should tourism look like in 2050?  absolutely aligns with this work. 

It challenges us all to think long‑term, towards a system that can sustain growth over decades. 

Achievements since launching the Roadmap – boosting demand

International arrivals are now at around 90 per cent of 2019 levels[1] and latest data from the Tourism Satellite Account shows total tourism expenditure at $46.6 billion for the year ending March 2025. 

We’ve also made progress on removing barriers to travel, further boosting visitation. Since the introduction of the visa‑free pathway for Chinese and Pacific travellers via Australia in November, nearly 59,000 requests have been approved, with more than 47,000 arrivals already recorded. 

Major Events and Tourism Package

In September, our Government launched the $70 million Major Events and Tourism Package, designed to drive economic growth and boost international visitor numbers.

This includes the $40 million Events Attraction Package to secure high‑impact events for New Zealand.

As a result, we’re now welcoming global events such as Robbie Williams, Linkin Park, the FIFA World Series, the World Surf League Championship Tour and Ultra Music Festival– with more to come.

We’ve also been working hard to deliver the Events Boost Fund, which has so far supported 34 new and existing events nationwide. 

We’ve continued investing in initiatives to drive outcomes in our regions. 

Round Two of the Regional Tourism Boost has now delivered nearly $10 million to campaigns across New Zealand. Collectively, the nine funded campaigns will attract global visitors, including from Australia, China, Canada and the United States.

The Boost provides a great example of the benefits to be realised when tourism and hospitality collaborate at scale. 

Hospitality is a huge contributor to our economy and workforce, helping drive over $9 billion in GDP and employing people across the country. 

As we attract more international visitors, the flow-on benefits for our hospitality sector become immediate and significant, as well as for our wider economy.

And of course we can’t forget the recent opening of the New Zealand International Convention Centre. What a wait it’s been but an enormous milestone and the benefits for New Zealand will be profound. 

2026 Hospitality Summit

Earlier this month, I hosted the 2026 Hospitality Summit, which brought hospitality associations and businesses together to engage with government and refresh shared priorities for the sector.

Recent progress made demonstrates the positive impacts on economic growth when government, business and communities work together. 

Michelin Guide 

A key recommendation from the 2024 Summit had been to bring the Michelin Guide to New Zealand, and that dream is now a reality. The inaugural Guide will be released in June, covering Auckland, Wellington, Christchurch and Queenstown.

This is a truly significant opportunity to celebrate our top talent and draw even more international visitors to our shores, further lifting hospitality activity and spending. 

Tourism New Zealand will leverage this with an increased focus on food and beverage in its marketing.

Achievements – Supply-side 

Our Government is committed to economic growth, and tourism is central to that mission.

New Zealand has significant capacity to support further tourism growth, but we know capacity isn’t evenly distributed. 

Growth must be managed in ways which protect destinations and the unique visitor experience they curate.

That’s why I’m taking a balanced approach – continuing to invest in demand-side initiatives which boost visitor numbers, while also stepping up investment in the supply side of the sector. 

This year, IVL investment is looking to prioritise 60 per cent towards demand initiatives and 40 per cent towards supply. 

I look forward to sharing my 2026/27 IVL investment plan in the coming months.

New Zealand Cycle Trails Investment

Investment in our cycle trails continues to deliver really strong returns. 

Over the past year, I’ve announced four investments in cycle trail upgrades through the Major Events and Tourism package. 

This includes $2 million to extend the Dunedin Tunnels Trail and attract more people through the beautiful Otago region we’re enjoying today.

Each year, more than two million people use the Great Rides, contributing an estimated $1.28 billion to regional economies. 

This is exactly the kind of infrastructure we need — supporting both domestic and international growth and enhancing visitor experience.

Tourism System Review

Alongside these investments, I’ve been undertaking a Tourism System Review. I’d like to thank those of you who’ve provided valuable input into this review so far and shared ideas about how we deliver on the objectives of the Tourism Growth Roadmap.

I’ve heard the message from the sector loud and clear: the status quo won’t support long‑term, sustainable growth. Three themes have come through strongly. 

First, clear national leadership.

Our system is fragmented with overlapping roles, multiple funding mechanisms and limited coordination beyond international marketing. This weakens our ability to deliver value and compete as a destination at an international scale.

Tourism presents significant opportunities for New Zealand, but I can see that without a more coordinated and forward-looking system, our full potential won’t be realised.

Second, a more streamlined regional model.

There is an opportunity to achieve greater coordination while retaining strong local voices. Better regional scale can support dispersal, manage seasonality, and lift value per visitor – while still recognising that many core functions must remain at place.

Initiatives like the Regional Tourism Boost are a great example of the benefits to can be realised when we collaborate at scale. I’m open to suggestions on how we can support regions to continue to collaborate to maximise outcomes for communities and visitors. 

While efficiencies can be gained, many of the key functions in our tourism system are, and must continue to be, delivered at place.

Local government’s role in placemaking remains essential. Events, museums and galleries, public spaces and visitor infrastructure are foundational to tourism. 

I’ve had some questions from councils about what the Government’s reforms to focus councils on core services and keep rates increases under control mean for their role in tourism. 

Councils absolutely have a role in ensuring our cities, towns and districts are great places to visit, and that tourism and hospitality businesses can thrive as a result. 

The local government reforms don’t change councils’ important role in that.

To meet our long-term growth objectives, it’s essential any changes to the tourism system ensures local government investment in tourism is maintained into the future. 

There’s no replacement for local insights, expertise and passion. This is precisely what makes our tourism offering distinct and valued, and this must be honoured as we consider our next steps.

Third, sustainable, long-term investment to support a growing tourism sector. 

This isn’t just about public investment, but creating the right settings and providing confidence for private investors.

Short‑term, reactive funding makes it difficult to align activity to long‑term priorities. 

We need greater certainty – for both public and private investment – and a system reflecting tourism’s status as a strategic national asset

From Roadmap to system reform:  Tourism Policy Statement 

Everything I’ve spoken about today – boosting demand, strengthening supply, investing in regions and reviewing the tourism system – has been deliberate and sequenced.

The Tourism Growth Roadmap was about stabilising and growing the sector after a period of disruption. Our demand investments focued on recovery and momentum, and our supply‑side shift has been about supporting capacity, quality and resilience.

The Tourism System Review has tested whether the way our system is structured is fit for the future. That work now brings us to the next step.

Following the Tourism System Review, I’m progressing a Tourism Policy Statement for New Zealand. This is the key announcement I want to leave with you today.

The Tourism Policy Statement will not be a reset, and it is not a stand‑alone document.

It is the next phase of the work underway, translating the Roadmap and the Review into a clear, enduring framework for how tourism is governed, coordinated and invested in over the long-term.

At its core, the Tourism Policy Statement will do three things

First, it will set a clear national direction for tourism. 

It will articulate tourism’s role as a strategic national asset and provide a shared narrative for government, local authorities, iwi and industry about what success looks like – not just in terms of volume, but in value, resilience and community benefit.

Second, it will provide clarity on roles, coordination and investment, both now and in the future

It will respond directly to what we heard through the Tourism System Review about fragmentation, duplication and short‑term funding. The Policy Statement will signal where leadership sits, how coordination should improve across the system, and where public investment (including the IVL) can best unlock long‑term value.

Third, it will give confidence to regions and industry.

By setting out priorities and expectations, the Policy Statement will provide a stronger basis for local government, regional entities and the private sector to plan, invest and collaborate with greater certainty.

This is about moving from a system evolving over time to one that is designed deliberately. This will support growth, protect place and deliver value for both visitors and New Zealanders.

I expect to release the Tourism Policy Statement in Q2 this year. In the meantime, I encourage you to continue engaging through your industry and professional associations. The quality of the thinking in this room is exactly what will strengthen this next phase.

Closing

As a Government, we know the strength of our tourism industry is clear for all to see – and the sector is certainly a key part of National’s plan to fix the basics and build the future. 

Under our watch, New Zealand is open for business and international visitors are returning.

While tourism has always been one of New Zealand’s strengths, its future success will not be accidental.

It will depend on clear choices about how we grow, where we invest and how we organise ourselves as a system. It will recognise tourism not just as a set of markets, but as something that shapes places, communities and livelihoods across the country

Over the past year, our focus has been on rebuilding momentum and restoring confidence. 

The work now underway is about ensuring that growth is intentional, coordinated and sustainable. 

Our next steps must be about designing a system supporting growth, protecting place, and delivering value for both visitors and New Zealander

Thank you for the opportunity to share some of these next steps with you today. I look forward to your questions and to continuing this conversation together.

** Published at approx. 5pm 26 March 2026, subject to check against delivery.

MIL OSI

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