A grandmother has died and her one-year-old granddaughter is in hospital after they were both found unconscious in a backyard pool on the NSW south coast.

The 63-year-old Korean national had gone for a walk with the child strapped to her in a baby harness at an address in Dapto, south of Wollongong at about 2.30pm (AEDT) on Tuesday, a police spokesman told AAP.

Shortly after, the woman's grandson raised the alarm after finding the pair unconscious in a pool in the backyard.

The girl was resuscitated and taken to Wollongong Hospital, but the grandmother could not be revived, the spokesman said.

The woman was believed to suffer from a medical condition, and police do not believe there are any suspicious circumstances surrounding the incident.

A report will be prepared for the coroner.

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