Sydney boasts the largest economy in Australia and is a major financial and economic center in the Asia-Pacific. Generating over $400 billion AUD annually, Sydney accounts for approximately a quarter of Australia’s total Gross Domestic Product (GDP).
The city's economic strengths lie in its highly skilled workforce and its role as a regional headquarters for multinational corporations. The cost of living in Sydney is notably high, often ranking among the most expensive cities globally, driven primarily by housing costs. Despite this, the median income is also higher than the national average.
Future economic development is heavily focused on the "Three Cities" model outlined by the Greater Sydney Commission, aiming to balance growth between the Eastern Harbor City (traditional CBD), the Central River City (Parramatta), and the Western Parkland City (centered around the upcoming Western Sydney Aerotropolis and new international airport).