An Australia Day billboard featuring two women in hijabs has been removed from a site in Melbourne after threats were made to the company behind it.

While the digital sign featured rolling images of people from various cultural backgrounds, one picture of two Muslim women in front of the Australian flag sparked furious debate among social media users.

Hundreds of people criticised the image for being too politically correct or not a true reflection of Australia Day.

'The large billboard, hosted by outdoor media company QMS, was used to promote an RACV-sponsored festival in Kings Domain Gardens next week and also included Victoria's official government and Australia Day logos.

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