The Federal Government has announced one-off payments to travel agencies, after a year which saw their industry rocked by border closures around the world.

The owner of Let's Travel & Cruise, Alf Trefilo, said his agency basically lost all of it's income this year, and has spent the past six months handing out refunds while bringing in little to no money.

He admitted that while the government payment was unlikely to turn the tide for his business, "every little bit helps".

For the owner of itravel Griffith, Chontell Giannini, the announcement is great news, but not because of the money.

"It's been the hardest year I think we've ever faced," she said. "Harder than September 11, worse than the global financial crisis."

"The payment is good but it's not even just the money. I think the government has recognised how valuable we are going to be in the future."

Mrs Giannini believes with the increase in regulations and restrictions to be introduced to international travel post-COVID, travel agencies will become more vital than ever, by making what will be a complicated and time-consuming process easier.

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While the opening of domestic borders has caused a slight increase in people organising trips, the local travel agencies are still struggling, and both Mr Trefilo and Mrs Giannini urged Griffith residents to consider using travel agencies to book local holidays.

"A lot of people don't think we can help them with 2 nights in Sydney or a little short get away to the Gold Coast," Mrs Giannini said.

"They can come see us ... all those little things add up and it will help us keep plodding along until the world opens up."

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"We need the Griffith community to support us."

Mr Trefilo said he wanted to remind locals that the agencies are "still there", and people can use them to support a local business without spending any more money than they would online.

The $128 million fund from the Government will be distributed next year, with payouts of anywhere between $1,500 for smaller agencies, to $100,000 for the bigger businesses.