A local New Zealand council is investigating the spa sector as a growth opportunity for geothermal destination Rotorua.

Grow Rotorua - a council-controlled organisation dedicated to economic growth in the district - reported to a council meeting on 13 March that tourism was one of four main target sectors that should be invested in to stimulate the local economy.

Chairman John Green said as a result the organisation was currently assessing the potential of the spa, health and wellness sectors as a "significant growth opportunity".

Rotorua is already a popular spa destination due to its natural hot springs and geothermal mud pools.