Aussie travellers are continuing to hit the country’s roads in droves with the goal of soaking up all the lucky country has to offer. Armed with their driver’s licence and a carload of supplies, sightseers can easily roam through major cities and rural towns that appear like a mirage in the middle of the outback.
However, for those wanting to venture further abroad and climb behind the wheel overseas, the journey may not be so smooth.
A new global study conducted by Compare the Market Australia has delivered a surprising verdict for motorists, revealing that our driving licence is one of the ‘least powerful’ in the world.
Experts at the comparison service recently announced the unsettling news after analysing the licences of 19 countries by comparing their international recognition, how much they cost to obtain, and how long they last before needing to be renewed.
While the Aussie licence is relatively affordable and accessible to young drivers, its short five-year validity period and limited recognition in just 24 other countries has let it down on the world stage, ranking 13th overall.
The rating is a stark contrast to Finland, which was deemed to have the most powerful driving licence. It is valid for 15 years and recognised in 141 countries. On the other end, Japan’s licence ranked last, partly due to the price it costs to obtain — AUD $3,600.

Travellers may run into problems while trying to rent a car overseas due to the lack of recognition of the Aussie driving licence. Source: Transport and Main Roads Queensland
How does the low licence ranking impact Aussie drivers?
As we know, Aussies love to roam, but they might find it difficult to do so when flashing their licence overseas.
“The biggest impact is that Australian travellers cannot assume their standard licence will be enough to drive legally abroad,” Compare the Market’s Executive General Manager of General Insurance, Adrian Taylor, told Yahoo News, adding the most common problem travellers will run into is struggling to rent a car.
“The low global recognition score means that in the vast majority of countries, an Australian licence by itself isn’t sufficient.”
Holidaymakers should plan ahead and secure an International Driving Permit (IDP) before leaving the country, Adrian explained. The UN-sanctioned document translates the Australian licence into multiple languages, making it valid in over 150 countries.
Without an IDP, travellers may be denied access to a rental car or face legal and insurance issues.
“If they do manage to rent a car and are stopped by local authorities, they could face fines for driving without a valid permit,” Adrian said. “Crucially, in the event of an accident, their travel insurance could be voided, leaving them liable for significant costs.
“In short, the advice is simple: if you’re an Aussie planning an overseas road trip, getting an IDP is a small but essential step to avoid major headaches.”
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