Victoria’s Greater Geelong has become Australia’s most sought-after destination for internal migrants, surpassing Queensland’s Sunshine Coast, as new data revealed regional migration remains significantly above pre-pandemic levels.
The latest Regional Movers Index (RMI), produced by the Regional Australia Institute (RAI) and Commonwealth Bank (CBA), showed Geelong captured 9.3% of total net internal migration in the 12 months to March – overtaking the Sunshine Coast’s 8.9% share and ending its two-year reign.
RAI CEO Liz Ritchie (pictured left) said the trend reflects a wider shift in how Australians are reimagining regional life.
“The nation’s love affair with regional life is showing no signs of abating with 25% more people moving from capital cities to the regions, than back in the opposite direction,” Ritchie said.
“Net migration to regional Australia is now sitting 40% higher than the prevailing level in the pre-pandemic era.”
Greater Geelong’s rise mirrors broader momentum across Victoria. The state accounted for 34% of total net inflows to regional areas in the March 2025 quarter – up from 28% a year earlier. Latrobe and Murrindindi were the top two LGAs in terms of annual growth in migration inflows.
“Contemporary regional Australia has what people are looking for,” Ritchie said, noting lifestyle, jobs and diversity as key drawcards.
This trend is further bolstered by the Victorian government's commitment to regional development, including the construction of 128,600 new dwellings in Greater Geelong by 2051 to accommodate the growing population.
Josh Foster (pictured right), CBA acting executive general manager regional and agribusiness banking, credited Geelong’s success to lifestyle benefits and robust infrastructure plans.
“In a first for the RMI, Greater Geelong has become the star performer due to its idyllic location, established services and range of employment opportunities,” Foster said.
“This is underpinned by significant government and corporate investment in the region, including the Geelong Convention Centre… and the Barwon’s Women and Children’s Hospital renovation.”
He added that the state’s housing target of 128,600 new dwellings by 2051 will support Geelong’s population growth, while proximity to Melbourne makes it attractive for business relocation.
One business capitalising on the migration boom is Gouge Linen and Garment Services. Co-owner Rob Priestly said the company is expanding into Geelong with support from CBA.
“Lots of thought and planning has gone into our new plant in Geelong and we are finally executing on those plans,” Priestly said.
“There are lots of exciting growth opportunities for us from the platform of a second major plant.”
While the Sunshine Coast slipped to second place, other regional Queensland centres like the Gold Coast, Townsville and Fraser Coast remain attractive. The state’s net migration share dipped to 17%, down from 30% a year ago.
Foster noted Queensland’s climate and affordability are ongoing draws, alongside major projects like CopperString 2032, a major infrastructure project aimed at unlocking the vast mineral and renewable energy potential of North Queensland.
“This initially involves building 840km of new electricity transmission line… and will connect Queensland’s North West Minerals Province to the National Electricity Market for the first time in Australia’s history,” he said.
Interest is not limited to the east coast. South Australia's Victor Harbour and Western Australia’s Denmark and Harvey also made the list of popular destinations for movers.
“Regional Australia’s population is now sitting at 9.91 million people,” Ritchie said.
“It’s imperative that regional Australia is on the radar of decision-makers… ensuring communities have the infrastructure, facilities, funding and support they need.”
