Hobart has been named one of the top 10 cities in the world for 2013 by Lonely Planet.
The Tasmanian city is the only place in Australia to make the list.
The opening of the Museum of New and Old Art (MONA) in 2011 has been credited with giving Hobart a tourism boost, with the region's reputation for artisan food and drink also bolstering its success.
Tourism Tasmania CEO Tony Mayell said the recognition was overdue.
"Being named as one of the world's top 10 cities to visit by such an internationally-respected travel publication is a great accolade for Hobart," he said.
"Hobart has flown under the radar for a while, so it's pleasing to see the city finally getting the recognition it deserves."
Tourism Australia managing director Andrew McEvoy said the listing in the Best of Travel 2013 publication was "a huge coup".
"It's a massive achievement and testament, I believe, to just how far Tasmanian tourism has come in recent years," he added.
Lonely Planet rates Hobart as something of a hidden gem, telling its readers: "Now is the best time to discover what's going on down there before the rest of the world catches on."