The announcement came on Wednesday morning, June 15, as part of a larger announcement from Rex that it would be increasing weekday traffic to 11 regional airports in NSW, Victoria, and South Australia.

The route from Sydney to Moruya/Merimbula will see a 15 per cent increase on weekdays.

Other increases from Rex include a 67 per cent increase from Sydney to Coffs Harbour, a 50 per cent increase from Sydney to Broken Hill, and 33 per cent increases to Orange, Griffith and Port Macquarie.

The increased services will commence on July 4, and all routes are already on sale.

Rex's general manager of network strategy, Warrick Lodge, said the new schedule would see more flights in the airline's regional network than before COVID-19.

"Rex sees strong recovery in these regional centres and is dedicating considerable resources to meet this demand," he said.

"These improved schedules will see us operating more flights on our regional network than pre-COVID and mark a significant turning point for the airline as we return to profitability.

"We are confident that FY23 will see a great improvement in the financial performance of our regional operations since Rex will only operate on densely patronised regional routes where the load factors and yields will be much more favourable."

Mr Lodge also announced the cancellation of the Sydney to Cooma route from June 27.