THE Gold Coast Convention and Exhibition Centre is set to embark on stage two building plans, to be funded by the State Government.

The extension will allow the centre to cater for larger conventions that have bypassed the Gold Coast, boosting local tourism and the economy.

The Government's $128 million investment in stage one of the convention centre has already brought huge dividends and it believes stage two will do the same.

Tourism Minister Margaret Keech says the State Government has pledged to invest another $600,000 in convention marketing for the Gold Coast this year.

"The region is already forging a reputation as a great place to work and play and the centre's expansion will allow us to pitch our product to a wider audience," she says.