India ranks 3rd in WTTC Travel & Tourism Power and Performance ranking
India’s ranking in the Travel and Tourism Competitive Index (TTCI) of World Economic Forum moved from 52nd position in 2015 to 40th position in 2017. Now India has moved up by another 6 positions and ranked at 34th position in 2019.
Despite the pandemic, FY 2020 saw an inflow of $2.94 bn in investments in Indian tourism as compared to $1.07 bn in FY 2019, a y-o-y growth of 174.7%.
Tourism tends to encourage the development of multiple-use infrastructure including hotels, resorts & restaurants, transport infrastructure (aviation, roads, shipping & railways) and healthcare facilities.
- By 2028, Tourism & Hospitality is forecasted to earn $50.9 bn as visitor exports compared to $28.9 bn earned in 2018
- By 2029, Travel & Tourism will account for nearly 53 million jobs as compared to the 43 million jobs directly in 2018 (8.1% of total employment)
- By 2030, India is expected to be among the top five business travel market
- By 2029, theTourism sector is expected to grow at 6.7% to reach $35 tn
- The hospitality sector is expected to touch $460 bn by 2028
Industry Scenario
$460 bn contribution to India’s GDP by 2028
Travel and Tourism was the largest service industry in India was worth $234 bn in 2018. The industry has become one of the largest Foreign Exchange Earners in India with earnings of $29.962 billion over Jan 2019 – Dec 2019 equating a growth of 4.8% over the previous year.
According to The World Travel and Tourism Council (WTTC), tourism generated $194 bn or 6.8% of India’s GDP in 2019 and supported 39.80 Mn jobs which is 8 % of its total employment.
100% FDI allowed under automatic route
100% FDI allowed in tourism construction projects, including the development of hotels, resorts, and recreational facilities
