Skift India Report: Hotel Sector Could Add $1 Trillion to Economy by 2047
Photo Credit: The total contribution includes aspects of services from corresponding industry verticals such as food and beverages, salon & spas, etc. Pictured is The Imperial Hotel, Janpath, Connaught Place, New Delhi. Unsplash / Barun Ghosh
Skift Take
The vision for the hospitality sector goes much beyond just branded hotels — to include tier-2 and 3 cities which will be crucial for tourism growth. Plus, other highlights from last week's news in hotel deals and development across the country.
The Indian hotel sector is poised to contribute $1.5 trillion to the country’s economy by 2047, up from $65 billion in 2022, forecasts the Hotel Association of India in its "Vision 2047: Indian Hotel Industry" report.
The association anticipated growth of 15% in the long-term for the overall hospitality industry. The total contribution includes aspects of services from corresponding industry verticals such as food and beverages, salon & spas, etc.
Looking at it more broadly, the group forecasts that tourism and hospitality will contribute $3 trillion. To reach that target, the sector will need:
Policy support and ease of doing business. Rise in national and international tourist footfalls. Extending accommodation growth beyond the metros to tier II, III cities.Domestic Tourist Visits: These are anticipated to rise from 677 million in 2021 to 1.5 billion by 2030 and then further to 15 billion by 2047 in the long term (2037-
