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A reputation as a tolerant nation with strong humanitarian values is marred by past government policies excluding non-whites, and more recently a succession of scandals resulting in much criticism of Australia’s refugee programs.

With a population of approx. 170,000 people in the city proper (known as the "city of Sydney") and a metropolitan area population exceeding 4 million, the Sydney metropolis is the larger of the two main financial, transport, trade and cultural centres of Australia (the other being Melbourne, Sydney's long term rival to the title of pre-eminent Australian city).

Australia is home to perhaps the oldest continuous artistic traditions in the world - that is, those of the Aboriginal Australians, an artistic tradition that began to receive international recognition in the late 20th century. It has also produced notable artists coming out of Western traditions whose most distinctively Australian feature is the gradual development of a way to represent the equally distinctive Australian landscape.

Sydney's most famous landmarks are the Sydney Harbour Bridge and the Sydney Opera House, both of which are located on Sydney Harbour. Sydney's principal river is the Parramatta River, which enters Sydney Harbour from the west. While the Harbour is famous for its racing yachts, the Boxing Day start of the Sydney to Hobart Yacht Race and 18ft skiffs, the river is used for dinghy sailing and rowing as well as recreational boating, racing small yachts, recreational fishing, and occasional Dragon Boat racing.

Melbourne is the capital and largest city of the state of Victoria, and the second largest city in Australia, with a population of 52,117 in the Central Business District and 3,488,750 in the metropolitan area (census 2001).