Archive · 30 Dec 2025
India's Tourism Sector Needs Targeted Reforms for Growth
India's tourism sector is big, with lots of people working in it and many visitors.
But it's not making as much money as it could.
A report says India needs to improve things like infrastructure, service quality, and safety to make tourism more valuable.
It also suggests better marketing and support for small businesses in tourism.
This way, India can attract more high-spending tourists and keep more of the money Indians spend on travel abroad.
India's tourism sector is the country's largest non-farm employer, engaging over 13% of the workforce and recording 2.96 billion tourist visits in 2024.
Despite its scale, the sector only contributes about 5% to the GDP, below the global average of 10%.
India hosts only 1.4% of total international tourists, with nearly one-third being the Indian diaspora traveling to meet family and friends.
The report suggests targeted interventions like infrastructure upgrades, improved safety and hygiene, and better integration of MSMEs and artisans.
India can retain more of its outbound travel expenditure by offering globally competitive tourism offerings at home.
- Who
- Crisil Intelligence
- What
- Report on India's tourism sector
- When
- Tuesday (specific date not mentioned)
- Where
- New Delhi, India
- Why
- To highlight the need for targeted reforms to unlock the full potential of India's tourism sector
- Sector's Contribution to GDP
- 5%
- Global Average GDP Contribution
- 10%
- Tourist Visits in 2024
- 2.96 billion
- International Tourists in India
- 1.4% of total
- Indian Diaspora Visitors
- Nearly one-third of international tourists
- Indian Outbound Travel Expenditure in 2024
- USD 17 billion
- Sector's Workforce Engagement
- More than 13% of the workforce