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How anti-racism benefits our community

Racism and discrimination damage our society. Addressing racism builds social cohesion and belonging in Victoria, creating stronger bonds within and across different communities.

It creates a safer and stronger Victoria, where everyone can take part and thrive.

Combatting racism makes everybody safer

Addressing racism and racist ideologies is vital to protect the Victorian community and uphold the values of our state.

The Legislative and Social Issues Committee’s Inquiry into extremism in Victoria highlighted how far-right extremist groups have incited or committed acts of violence or terrorism against First Peoples, multicultural and multifaith communities.[122]

Combatting racism helps ensure Victorians from First Peoples, multicultural and multifaith communities are safe and supported. It also creates a safer and more cohesive community for everyone.

Anti-racism is an investment in our future

Multiculturalism contributes to Victoria’s vibrancy and prosperity. Cultural diversity adds around $1 billion to the Victorian economy every year.[123] When we embrace diversity, we drive innovation and productivity.

Our reputation as a safe and welcoming place to be stimulates the Victorian economy. Tourism alone contributes around $1.2 billion to the Victorian economy.[124]

Humanitarian settlement in Victoria has also had positive economic effects including:

  • increased employment in the retail, accommodation, food and manufacturing sectors
  • more demand for goods and services.

Taking action to combat racism will increase innovation and economic prosperity for the state.

Racism and discrimination cost us all

Although First Peoples, multicultural and multifaith Victorians bear the greatest cost of racism and discrimination, racism also costs Victoria as a whole. We all lose as a community when some of us experience barriers and harm that stop people from fully taking part and thriving. Racism also reduces our broader sense of safety, trust and community cohesion.

Racial discrimination has indirect costs to productivity in employment. The health costs of racial discrimination in Australia are around $37.9 billion each year.[125]

Racism has a tangible impact on Australia’s economy, negatively affecting 2 of our largest industries – tourism and international education.[126]

Racist incidents have tarnished Australia’s and Victoria’s reputations as destinations for tourism, migration and study. They have also affected Victoria’s ability to attract and retain skilled workers.[127]

Without targeted actions to address racism, we risk losing:

  • key investment partners who want to operate in Victoria’s metropolitan, rural and regional areas
  • international workers and students, who bring global talent to Victoria.

Anti-racism supports self-determination

Addressing racism is in line with the Victorian Government’s work to advance self-determination, Truth and Treaty. It also furthers Victoria’s commitments to address racism under Victoria’s Closing the Gap implementation plan and the Victorian Aboriginal affairs framework (VAAF).

The VAAF enables First Peoples to hold government to account on improving outcomes. Goal 20 (‘racism is eliminated’) recognises that removing racism in all forms and at all levels should not be the responsibility of First Peoples.

Priority Reform 3 of the National Agreement on Closing the Gap commits the government to address racism by transforming government organisations, including:

  • identifying and eliminating racism
  • embedding cultural safety in practice
  • providing services in partnership with First Peoples organisations, communities and people.

Priority Reform 3 aims to decrease the proportion of First Peoples who experience racism.

Victoria’s Closing the Gap implementation plan includes actions to make sure mainstream institutions are culturally safe and responsive including:

  • partnering with the First Peoples’ Assembly of Victoria towards Treaty
  • truth telling through the Yoorrook Justice Commission.

The Victorian Government is committed to working with the First Peoples’ Assembly of Victoria to progress a well-supported, well-planned and transparent Treaty process.

Through Treaty, Victoria is committed to:

  • laying the foundations for renewed and positive relationships between the state, First Peoples and non–First Peoples Victorians
  • celebrating the unique status, rights and histories of First Peoples
  • embedding self-determination by handing over decision-making power so First Peoples can make decisions about their own future
  • improving First Peoples’ health, education and economic outcomes by ensuring they have a say on the policies that affect them.

The Yoorrook Justice Commission is the nation’s first formal truth-telling process. It is currently investigating historical and ongoing systemic injustices committed against First Peoples.

The Yoorrook Justice Commission focuses on:

  • truth telling and healing
  • truth listening and educating broader Victorians
  • making recommendations for systemic reform.

These focus areas are:

  • reflected in the Yoorrook Justice Commission’s goals of Truth, understanding and transformation
  • in its vision to see a transformed Victoria based on Truth and justice
  • grounded in First Peoples’ enduring spirit, cultures and self-determination.

Tackling racism complements the government’s deep commitment to First Peoples self-determination and Victoria’s Truth and Treaty processes. By doing so, we can create a Victoria where First Peoples live free from racism and have the power to take control of their own affairs.


[122] Legislative Council Legal and Social Issues Committee, Inquiry into extremism in Victoria, Victorian Government, 2022. https://new.parliament.vic.gov.au/get-involved/inquiries/inquiry-into-e…

[123] Victorian Government, Victorian. And proud of it: Victoria’s multicultural policy statement, Victorian Government, 2017, p 10 https://www.vic.gov.au/multicultural-policy-statement

[124] Victorian Government, Victorian. And proud of it: Victoria’s multicultural policy statement

[125] A Elias and Y Paradies, ‘Estimating the mental health costs of racial discrimination’, BMC Public Health, 2016, 16(1205)

[126] Department of Jobs, Precincts and Regions, Economic contribution of tourism to Victoria 2020–21, Victorian Government, 2021. https://business.vic.gov.au/__data/assets/pdf_file/0004/2062480/Economi…; Department of Jobs, Precincts and Regions, Economic value of Victoria’s international education, Victorian Government, 2020. https://djpr.vic.gov.au/priorities-and-initiatives/economic-value-of-vi…
H Babacan, J Pyke, A Bhathal, G Gill, M Grossman and S Bertone, The community safety of international students in Melbourne: a scoping study. Institute for Community, Ethnicity, and Policy Alternatives (ICEPA), Victoria University, 2017

[127] M Baas, ‘Victims or profiteers? Issues of migration, racism and violence among Indian students in Melbourne’, Asia Pacific Viewpoint, 2014, 55(2): 212–225; MY Zhang, ‘Students in China heed their government’s warnings against studying in Australia’, The Conversation, 6 July 2020. https://theconversation.com/students-in-china-heed-their-governments-wa….
B Birtles, ‘China cautions students about “racist incidents” during coronavirus pandemic if they return to Australia’, ABC News, 9 June 2020. https://www.abc.net.au/news/2020-06-09/china-warns-students-not-to-retu….

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