India’s tourism sector witnessed a strong resurgence in 2023, with foreign tourist arrivals rising by 124% to 1.92 crore. Key destinations included Delhi, Goa, Kerala, and Rajasthan. Government initiatives like ‘Swadesh Darshan’, ‘PRASHAD’, e-Visa expansion to 167 countries, and promotional campaigns such as Dekho Apna Desh boosted international tourism. With a focus on infrastructure, thematic tourism, and sustainable growth, India is rapidly emerging as a leading global travel destination.
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India’s tourism sector experienced a remarkable resurgence in 2023, with foreign tourist arrivals soaring by 124% to reach 1.92 crore, according to Union Minister for Tourism and Culture, Gajendra Singh Shekhawat. This sharp increase marks a significant leap from the 85 lakh international visitors recorded in 2022.
Among the top destinations for foreign tourists were states including Delhi, Goa, Gujarat, Kerala, Karnataka, Maharashtra, Punjab, Rajasthan, Tamil Nadu, Uttar Pradesh, and West Bengal.
In FY23, India’s tourism sector saw a strong revival, contributing 5% to the GDP — equal to pre-pandemic levels. The sector created 7.6 crore jobs, highlighting its significant role in employment generation. International tourist arrivals (ITAs) in India also returned to pre-pandemic level, making up 1.45% of global ITAs. The sector also recorded foreign exchange earnings of US$ 28 billion, accounting for 1.8% of global tourism receipts. This performance placed India 14th globally in terms of tourism earnings in 2023.
Government initiatives boosting the tourism sector
The growth in tourism sector may be attributed to several key initiatives undertaken by the Ministry of Tourism to attract international travellers. These include- ‘Swadesh Darshan’, ‘PRASHAD’ (Pilgrimage Rejuvenation and Spiritual Heritage Augmentation Drive), and financial support under the ‘Assistance to Central Agencies for Tourism Infrastructure Development’ scheme. These initiatives are designed to improve infrastructure and facilities at major tourist spots across the country.
To elevate India’s profile in the global tourism landscape, the Ministry launched promotional campaigns like Dekho Apna Desh, and Chalo India. In addition, the ministry organized events like the International Tourism Mart and Bharat Parv. The creation of the Incredible India Content Hub—a digital platform featuring high-quality images, films, and brochures—have also played a key role in enhancing India’s tourism outreach.
Recognizing the evolving preferences of international tourists, the government has also been actively promoting Thematic tourism segments, including wellness, culinary, rural, and eco-tourism, as part of a broader strategy to diversify visitor experiences. Capacity-building programs such as ‘Incredible India Tourist Facilitator’ (IITF) and ‘Paryatan Mitra’ have been introduced to improve service quality for tourists.
In collaboration with the Ministry of Civil Aviation, the Tourism Ministry worked to expand air connectivity under the RCS-UDAN scheme, making 53 tourism routes operational to improve access to key destinations.
For further simplifying travel to India, the e-Visa facility has been extended to citizens of 167 countries and now includes nine sub-categories including e-Tourist, e-Business, e-Medical, and e-Conference visas, making it easier for international visitors to explore the country.
Tourism, a major force driving economic progress
The Union Budget 2025–26 emphasizes tourism as a key driver of economic growth, allocating ₹2,541.06 crore to improve infrastructure, build skills, and facilitate travel. A major focus is on developing 50 top tourist destinations in collaboration with states, featuring world-class amenities and better connectivity, in line with India’s goal of becoming a developed nation by 2047.
States will allocate land for critical infrastructure such as hotels, which have now been included in the Harmonized Master List of infrastructure (HML) to encourage private investment. Furthermore, ₹3,295.8 crore in interest-free loans will be provided to support 40 projects across 23 states under the Special Assistance to States for Capital Investment, aiming to develop world-class tourist destinations.
Growth Potential
India’s global recognition in tourism is steadily growing, with the country ranked 39th in the Travel & Tourism Development Index (TTDI) 2024 by the World Economic Forum. Impressively, India is one of only three nations to feature in the top 10 across all three pillars of the Tourism & Travel (T&T) Resources dimension. It ranks 6th for Natural Resources, 9th for Cultural Resources, and 9th for Non-Leisure Resources, along with a commendable 18th position in price competitiveness. International Tourist Arrivals (ITAs) have exceeded pre-pandemic figures and are projected to reach 20 million by 2025.
Meanwhile, domestic tourism continues to be a major growth engine, with over 3 billion visits expected. Emerging segments such as MICE (Meetings, Incentives, Conferences, and Exhibitions) and luxury tourism are also on the rise, drawing high-spending visitors to metropolitan areas, heritage cities, and cultural landmarks.
Religious tourism plays a crucial role in reinforcing spiritual and cultural ties while making a substantial contribution to the economy.
Home to a rich tapestry of temples, mosques, churches, and gurudwaras, India draws millions of pilgrims and spiritual seekers each year. Cities like Prayagraj, Varanasi, Amritsar, Rishikesh, and Ajmer serve as powerful symbols of communal harmony and highlight the nation’s vibrant cultural diversity. The Spiritual tourism in India is experiencing rapid growth as an increasing number of travelers seek meaningful and immersive experiences at sacred destinations. The surge in spiritual tourism is driven by a growing desire for inner peace, wellness, and cultural connection, with more people turning to meditation retreats, yoga centers, and temple circuits for spiritual rejuvenation.
In 2024, the religious tourism market was valued at US$ 202.8 billion and is projected to reach US$ 441.2 billion by 2032. Iconic pilgrimage sites such as Varanasi, Rishikesh, Tirupati, and Shirdi draw millions of devotees each year, playing a vital role in preserving cultural heritage while boosting economic development. Improved infrastructure and advancements in digital technology are enhancing accessibility, further accelerating the rise in spiritual travel.
Notably, the recently concluded Maha Kumbh Mela (at Prayagraj) held after 144 years, marked a significant spiritual and economic event in India, culminating with Mahashivratri celebrations. As the world’s largest religious gathering, it drew an astounding 660 million pilgrims to the Triveni Sangam in Uttar Pradesh, surpassing initial estimates of 450 million. The event spurred massive economic activity, generating approximately 1.2 million temporary jobs across tourism, transportation, healthcare, and retail sectors. Trade in essentials reached ₹17,310 crore, while the hotel and travel industry saw gains of ₹2,800 crore. Sales of religious materials and flowers contributed ₹2,000 crore and ₹800 crore, respectively.
Recognizing the growing potential of religious tourism as an economic driver, the government plans to enhance pilgrimage and heritage sites. Special emphasis will be placed on Buddhist destinations, aiming to position India as a global hub for Buddhist tourism and further strengthen its spiritual tourism landscape.
India is steadily progressing toward becoming one of the world’s leading tourism destinations, fueled by ongoing investments in tourism infrastructure, supportive policies, and a strong emphasis on sustainable and experience-led travel. This growth is poised to have a substantial influence on economic progress, employment generation, and the promotion of cultural exchange across the globe.
