Sydney will host the international WorldPride event in 2023, the first time the event has been held in the southern hemisphere.
Members of the worldwide InterPride network voted for Sydney to host the event in 2023, which will coincide with the Gay and Lesbian Mardi Gras.
Sydney overwhelmingly defeated Montreal and Houston in a vote in Athens on Sunday to decide on hosting rights for the festival, which is held every two years.
"Bringing WorldPride Down Under means we can celebrate and shine a spotlight on the unique challenges faced by the LGBTQI community in the region," Sydney Gay and Lesbian Mardi Gras co-chair Giovanni Campolo-Arcidiaco said on Sunday night.
Tourism Minister Simon Birmingham said it will be an event not to be missed.
"It is absolutely fitting that Australia and particularly Sydney celebrate our diversity through such a symbolic event that will also deliver a huge boost to our tourism industry," Senator Birmingham said.
New South Wales MP Alex Greenwich congratulated Sydney Mardi Gras on it's winning bid for the biennial event.
"WorldPride is the Olympics of LGBTI events and it's coming to Sydney and the Southern Hemisphere for the first time," Mr Greenwich said.