Growth of Tourism and Hospitality Industry - Infographic

India's tourism and hospitality sector is expected to yield revenue exceeding US$ 59 billion by 2028. Moreover, Foreign Tourist Arrivals (FTAs) are forecasted to hit 30.5 million by the same year.

Advantage India

Robust
Demand

*WTTC has revealed that international visitor spend in India reached a record Rs. 3,10,000 crore (US$ 36.05 billion) in 2024.

*India’s expanding middle class and young, digitally engaged population are positioning the country as a key driver of global leisure travel growth, according to a report published by BCG in June 2025.

*Indian hotels are tapping into the wellness tourism boom, with wellness tourism projected to be a US$ 1.3 trillion global market by 2025. In India, wellness tourism is growing strongly driven by health awareness and lifestyle shifts post-pandemic, with a focus on wellness packages that have boosted occupancy by 36% in some properties.

Robust economic growth icon

Attractive
Opportunities

*Expansion of medical tourism hubs, MICE promotion through the ‘Meet in India’ strategy, and digital MICE catalogues across 60+ cities are creating new investment avenues and global business travel opportunities.

*Development of tribal homestays under PM-JUGA, thematic tourism trails, and experiential heritage destinations is encouraging community participation, entrepreneurship, and diversified tourism offerings across emerging regions in India.

*Purvodaya region development, deployment of 4,000 electric buses, and enhanced connectivity initiatives are expected to improve accessibility, support sustainable travel, and unlock long-term growth potential for domestic tourism.

Attractive investment icon India

Policy
Support

*Government initiatives like Swadesh Darshan 2.0, PRASHAD, and CBDD are strengthening tourism infrastructure through sustainable destination development, improved connectivity, and enhanced visitor experiences across thematic circuits nationwide.

*Union Budget 2026–27 focuses on thematic tourism trails, Buddhist circuits, heritage site revitalization, and the development of five regional medical tourism hubs to position India as a global tourism destination.

*Skill development and community-led initiatives such as Paryatan Mitra, tribal homestays, and world-class training for 10,000 tour guides aim to boost employment, service quality, and inclusive tourism growth.

India policy support icon

Diverse
Attractions

*India is expanding its tourism portfolio through mountain, eco-nature, turtle, and bird-watching trails, and heritage destination development to attract varied global traveler segments.

*Events such as Bharat Parv and International Tourism Mart highlight India’s cultural richness, regional diversity, and niche tourism offerings, strengthening the country’s positioning across leisure, spiritual, and experiential travel.

* The transformation of 15 archaeological sites into experiential destinations and the promotion of North-Eastern tourism are enhancing India’s cultural landscape.

Competitive advantage icon India
Last updated: Feb, 2026

States with Largest Domestic Tourist Arrivals in 2021

  • Tamil Nadu
  • Uttar Pradesh
  • Andhra Pradesh
  • Karnataka
  • Maharashtra
  • Telangana
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