The Snowy Mountains of Music Festival will benefit from a $10,000 state government grant under the Regional Flagship Events Program.
Member for Monaro John Barilaro said the Program supported high quality events through a competitive grant process, administered by Destination NSW.
"Tourism is vital to regional areas," he said.
"Events such as The Snowy Mountains of Music Festival are important in attracting more visitors to our region to experience not only this fantastic event, but to also enjoy other attractions and accommodation, making an important contribution to our local economy, supporting local jobs and local businesses.
"Visitor expenditure in Regional NSW is now worth more than $13.7 billion to year end September 2013, an increase of more than 11.1 per cent compared to the same time last year.
"I encourage visitors to take a holiday in Regional NSW during 2014 and attend one or more of the many fantastic events or festivals on offer."
The Snowy Mountains of Music Festival will be held from June 6 to 9 at Perisher Valley.
The Festival coincides with the opening of the winter ski season and will include more than 40 blues and roots bands and 150 acts.