While multicultural festivals have become a significant feature of multicultural societies, offering a distinct and valuable experience for visitors, few studies have considered their role in contemporary social settings. This article outlines the key characteristics of multicultural festivals by drawing upon literature from a range of disciplines to clearly conceptualize their role. The article concludes that such festivals play a particularly significant role engendering multiculturalism in outwardly diverse social contexts. It contributes, in turn, to further comprehension of the importance of such festivals in contemporary social contexts characterized by growing ethnic diversity.