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Budget-friendly trips are a win-win for all sorts of travellers! They nudge you to discover unexpected destinations and often send you home with money left over for your next trip. At Time Out, we’re big fans of cheap-and-cheerful adventures, and we’re rallying for you to explore the world even if you’re doing it on a shoestring budget. We’ve got the lowdown on the most popular international destinations where the Aussie dollar will stretch the furthest in 2026 – so yes, now you have an excuse to book that flight.
The latest Australian Bureau of Statistics (ABS) data reveals Aussies are increasingly being drawn to destinations where they can get more bang for their buck. Insights from international money transfer platform Wise show we’re cashing in on cheap flights to our closest neighbour, New Zealand, and taking advantage of favourable exchange rates in Asia more than ever before. So, what are the most budget-friendly international destinations to explore this year?
Japan
In 2025, Australia hit a major milestone, with more than 1 million Aussie travellers visiting Japan in a single year for the very first time. That’s a 20 per cent jump on the previous year, which is unsurprising given the AUD’s nine per cent increase against the Japanese yen. With regular flight sales to Tokyo and Osaka, $2 onigiri from 7-Eleven, quirky capsule hostels and affordable trains, you don’t need to splash out to have a good time in Japan.
New Zealand
Thanks to its close proximity, New Zealand has long been a favourite holiday spot for Australians. With its staggeringly beautiful landscapes, epic outdoor adventures and lovely people, it’s easy to see the appeal. Add in a generally strong exchange rate – and a nearly 5 per cent boost of the AUD against the NZD in 2025 – and it appears 2026 will once again be a wallet-friendly time to visit.
Vietnam
If you thought you struck gold with cheap flights to Vietnam, you’ll be beaming when you see the price of everything else. The Aussie dollar stretches a long way here, making everyday costs like transport, accommodation and food incredibly affordable. We’re talking a jam-packed banh mi for just a couple of bucks. With the AUD gaining 12 per cent on the Vietnamese dong in 2025, the Southeast Asian country has now overtaken the UK to become Australia’s eighth most popular overseas destination. Want to help bump it up the list in 2026?
Sri Lanka
Sri Lanka was one of the trendiest holiday spots for Aussies in 2025, with ABS stats showing travel increased 25 per cent year-on-year – the fastest growth of any location in Australia’s top 20 overseas destinations. This should come as no surprise, given the value for money Aussies are getting at the moment, with the AUD gaining a whopping 13 per cent on the Sri Lankan rupee in 2025.
You can discover more of the cheapest overseas destinations to visit from Australia here.