diff --git a/app/code/Magento/Directory/Setup/InstallData.php b/app/code/Magento/Directory/Setup/InstallData.php
index 33c3ae4558e16..0556a7229d5e5 100644
--- a/app/code/Magento/Directory/Setup/InstallData.php
+++ b/app/code/Magento/Directory/Setup/InstallData.php
@@ -809,6 +809,14 @@ public function install(ModuleDataSetupInterface $setup, ModuleContextInterface
             ['BR', 'SE', 'Sergipe'],
             ['BR', 'TO', 'Tocantins'],
             ['BR', 'DF', 'Distrito Federal'],
+            ['AU', 'ACT', 'Australian Capital Territory'],
+            ['AU', 'NSW', 'New South Wales'],
+            ['AU', 'VIC', 'Victoria'],
+            ['AU', 'QLD', 'Queensland'],
+            ['AU', 'SA', 'South Australia'],
+            ['AU', 'TAS', 'Tasmania'],
+            ['AU', 'WA', 'Western Australia'],
+            ['AU', 'NT', 'Northern Territory'],
         ];
 
         foreach ($data as $row) {
diff --git a/app/code/Magento/Directory/Setup/UpgradeData.php b/app/code/Magento/Directory/Setup/UpgradeData.php
index 4ee9ea33673d7..3f9b510550719 100644
--- a/app/code/Magento/Directory/Setup/UpgradeData.php
+++ b/app/code/Magento/Directory/Setup/UpgradeData.php
@@ -46,6 +46,9 @@ public function upgrade(ModuleDataSetupInterface $setup, ModuleContextInterface
         if (version_compare($context->getVersion(), '2.0.2', '<')) {
             $this->addCountryRegions($setup, $this->getDataForIndia());
         }
+        if (version_compare($context->getVersion(), '2.0.3', '<')) {
+            $this->addCountryRegions($setup, $this->getDataForAustralia());
+        }
     }
 
     /**
@@ -127,6 +130,25 @@ private function getDataForIndia()
         ];
     }
 
+    /**
+     * Australian states data.
+     *
+     * @return array
+     */
+    private function getDataForAustralia()
+    {
+        return [
+            ['AU', 'ACT', 'Australian Capital Territory'],
+            ['AU', 'NSW', 'New South Wales'],
+            ['AU', 'VIC', 'Victoria'],
+            ['AU', 'QLD', 'Queensland'],
+            ['AU', 'SA',  'South Australia'],
+            ['AU', 'TAS', 'Tasmania'],
+            ['AU', 'WA',  'Western Australia'],
+            ['AU', 'NT',  'Northern Territory']
+        ];
+    }
+
     /**
      * Add country regions data to appropriate tables.
      *
diff --git a/app/code/Magento/Directory/etc/module.xml b/app/code/Magento/Directory/etc/module.xml
index a3735ca6ddde1..cc8023b9b3873 100644
--- a/app/code/Magento/Directory/etc/module.xml
+++ b/app/code/Magento/Directory/etc/module.xml
@@ -6,7 +6,7 @@
  */
 -->
 <config xmlns:xsi="http://www.w3.org/2001/XMLSchema-instance" xsi:noNamespaceSchemaLocation="urn:magento:framework:Module/etc/module.xsd">
-    <module name="Magento_Directory" setup_version="2.0.2">
+    <module name="Magento_Directory" setup_version="2.0.3">
         <sequence>
             <module name="Magento_Store"/>
         </sequence>