India’s pooja economy: where faith fuels a billion-dollar industry

The scent of incense, the hum of chants, the flicker of diyas in India, devotion is spiritual and it’s also economic. Festivals like Diwali, Durga Puja, and Navratri spark over ₹3 lakh crore in economic activity each year.

From idol-makers preserving centuries-old craftsmanship, to tech platforms connecting devotees with services at the tap of a screen, this ecosystem is as sacred as it is scalable. With regional festivals gaining prominence and digital spending expected to drive 60% of this growth, India’s spiritual traditions are evolving.

This story uncovers how India’s spiritual fabric is quietly stitching together livelihoods, technology, and cultural pride — and why this sector is more vital to India’s future than ever before.

In India, the scent of incense, the rhythm of temple bells, and the vibrant hues of marigolds aren’t just symbols of faith, they are a part of growing economic story that quietly fuels millions of lives. This is the puja economy — a tapestry of artisans, gig workers, spiritual travelers, and digital innovators all woven together by rituals that are centuries old yet constantly evolving.

At first glance, a festive celebration or a quiet morning puja may seem far removed from economic data or job creation. But on a close watch, you’ll find livelihoods being shaped, cities being transformed, and a spiritual tradition adapting to the times — without losing its soul.

India’s major festivals witness massive economic activity, with Diwali leading the pack at an estimated Rs 1,20,000 crores spent over five days, translating to Rs 24,000 crores per day. Durga Puja follows, generating a four-day spending of Rs 45,000 crores, or Rs 11,250 crores daily. Ganpati festivities, lasting eleven days, see total spending of Rs 35,000 crores, averaging Rs 3,180 crores each day. Navratri records Rs 28,000 crores over nine days, with a per-day average of Rs 3,110 crores. Karva Chauth, though a single-day festival, an impressive Rs 15,000 crores in spending within just one day.

Several subtle yet significant factors play a pivotal role in the growth of the pooja economy. Let’s explore these in detail:

Artisans who shape the divine

Walk through Kumartuli in Kolkata in the months before Durga Puja, and you’ll see rows of idol-makers, often barefoot, covered in clay sculpting goddesses with the precision of surgeons and the devotion of poets. These artisans aren’t just creating idols; they’re creating economies.

In 2019, the Durga Puja celebrations alone generated over Rs 32,000 crore in West Bengal. Today, that figure is closer to Rs 50,000 crore. And this is just one festival. From Ganesha idols in Maharashtra to handwoven decorations in Tamil Nadu, these seasonal peaks sustain year-round employment for thousands.

But many of these artisans face an uphill battle, limited market access, a lack of social security, and a generation of youth drawn more to IT than terracotta. To survive, some have embraced digital platforms, while others are learning to blend tradition with contemporary design — using AI tools to craft pieces that appeal to both modern sensibilities and deep-rooted devotion.

Tourism, a major contributor

In FY23, India’s tourism sector witnessed a strong recovery, contributing 5% to the national GDP and creating 7.6 crore jobs. International tourist arrivals returned to pre-pandemic levels, accounting for 1.45% of global arrivals. Foreign exchange earnings from tourism reached US$ 28 billion, giving India a 1.8% share in global tourism receipts and placing it 14th worldwide in tourism earnings.

To further accelerate growth, Finance Minister Smt. Nirmala Sitharaman announced a landmark initiative to develop 50 top tourist destinations in collaboration with state governments, using a challenge-based model. The goal is to enhance infrastructure, connectivity, and the overall tourist experience. States will provide land for key infrastructure, including hotels, which are now classified under the Infrastructure Harmonized Master List (HML) to attract investment. Additionally, Rs 3,295.8 crore in interest-free loans will support 40 tourism-related projects across 23 states under the Special Assistance to States for Capital Investment scheme.

This initiative is also poised to significantly benefit India’s expanding “pooja economy”—the vast ecosystem surrounding spiritual tourism, rituals, and traditional practices. Many of the 50 destinations are likely to include major pilgrimage sites, where improved infrastructure will uplift livelihoods of temple workers, artisans, guides, and small businesses. By integrating spiritual heritage with modern tourism development, the government aims to boost culturally rooted economic growth and support inclusive, sustainable development across regions.

Gig workers behind the scenes

If you’ve ever used an app to book a priest for a home ceremony or ordered a pre-arranged thali of puja items during Navratri, you’ve tapped into the expanding gig layer of the pooja economy. This is a world of decorators, florists, pandits, livestream technicians, and temple helpers — people who move silently behind the scenes to make sure our rituals feel seamless. Many are part of India’s gig workforce, which is expected to grow from 7.7 million in 2021 to over 23 million by 2030.

During festive seasons, demand surges — not just in cities, but even in small towns and pilgrim centers. Platforms are evolving to cater to this spiritual demand, and governments are starting to respond: Rajasthan’s gig-worker law and Delhi’s Rs 10 crore welfare board are early signs that this sector is finally being taken seriously.

Pilgrimage: A journey of faith and economy

For millions of Indians, pilgrimage isn’t just a trip — it’s a journey of the heart. From a barefoot walk to Sabarimala to a family trip to the Ganga ghats, spiritual tourism forms over 60% of all domestic travel in India.

In 2022, an estimated 1.44 billion such journeys were made, generating more than Rs 1.3 lakh crore in economic activity. And the numbers are only rising. With the Ram Mandir opening in Ayodhya in 2022 and the Maha Kumbh in 2025, the scale of investment is consistently staggering — roads, airports, hotels, even “spiritual townships” are coming up to cater to the modern pilgrim.

Hotel chains, tour companies, souvenir makers, and local eateries are all thriving around this wave. More than a matter of faith, this is a full-fledged economic movement — rooted in belief, but branching into construction, hospitality, retail, and real estate.

Youth & innovation

What does devotion look like for Gen Z? It might be a temple-hopping vlog, a curated puja kit delivered via app, or a yoga retreat that blends chanting with digital detox. Younger Indians are approaching spirituality with curiosity — not out of obligation, but exploration.

And they’re bringing fresh energy into the ecosystem. Startups are launching multilingual puja services, AI-curated rituals, and even NFT-based blessings. Artisans are selling through Instagram. Temple tours are being livestreamed globally.

Far from shunning tradition, India’s youth are reinterpreting it — making it more accessible, inclusive, and often more sustainable. Their embrace of heritage through a digital lens is keeping rituals alive while making them relevant in the 21st century.

For all its promise, the pooja economy isn’t without cracks. Many of its participants — especially women, rural workers, and informal artisans — remain vulnerable. They often lack healthcare, pension benefits, or even recognition as workers.

Environmental challenges also loom large. Idol immersion contributes to water pollution, and excessive resource use during festivals is prompting calls for more conscious celebration. Meanwhile, commercialization raises tough questions: Can faith remain pure when every aspect has a price tag?

Solutions are emerging, but need scale — whether it’s biodegradable idols, policy support for gig workers, or better digital tools for artisans. The goal is balance: preserving the sanctity of traditions while ensuring those who uphold them aren’t left behind.

Road ahead

Based on current trends, the festival economy in India is poised for significant growth in 2025–26. It is predicted that total festival-related spending will surpass Rs 5 lakh crores by 2026, backed by a consistent annual growth rate of around 12%, making this projection highly reliable. Digital spending is expected to grow steadily, potentially accounting for 60% of all festival expenditures, reflecting India’s rapid adoption of digital payments and e-commerce—though this remains a medium-confidence forecast. Additionally, regional festivals are likely to contribute around 35% of total spending, driven by a growing cultural revival and increased consumer interest beyond mainstream celebrations.

Aiming for a booming pooja economy, the government has also introduced various schemes like – The Swadesh Darshan Scheme 2.0 (SD 2.0), centered on sustainable tourism, is set for expansion with 34 projects already approved and Rs 793.2 crore allocated for their implementation. To further boost employment in the sector, Rs 60 crore has been earmarked for skill development, including training in hospitality and tourism management.

The PRASHAD (Pilgrimage Rejuvenation and Spiritual, Heritage Augmentation Drive) scheme will continue to enhance infrastructure at major pilgrimage locations, focusing on world-class facilities, accessibility, and visitor experience.

India’s pooja economy is more than a trend or a niche sector. It’s a living, breathing network where age-old rituals support new-age aspirations. It’s about the weaver who sells hand-spun diyas online, the gig worker delivering flowers for a temple, the tourist discovering Kashi through a guided app, and the artisan sculpting gods in clay while streaming devotional playlists on YouTube.

As India marches forward, its spiritual economy offers a rare blend — of soul and structure, of the sacred and the scalable. The challenge now is not just to celebrate it, but to nurture it — ensuring that the people who have always kept India’s spiritual heart beating are also part of its economic future.

India’s pooja economy: where faith fuels a billion-dollar industry

Artisans who shape the divine

Tourism, a major contributor

Gig workers behind the scenes

Pilgrimage: A journey of faith and economy

Youth & innovation

Road ahead

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India’s pooja economy: where faith fuels a billion-dollar industry

Artisans who shape the divine

Tourism, a major contributor

Gig workers behind the scenes

Pilgrimage: A journey of faith and economy

Youth & innovation

Road ahead

Leave a comment

Cancel reply

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