Last Updated:June 04, 2025, 12:11 IST
The World Travel & Tourism Council (WTTC) forecasts that by 2035, the sector’s value could nearly double to Rs 42 trillion.
The growth of Indian tourism is driven by robust domestic and international travel, with domestic spending expected to hit Rs 16.8 trillion and international visitor spending projected at Rs 3.2 trillion in 2025. (Image: Shutterstock)
India’s travel and tourism industry is on a trajectory of significant expansion, with projections indicating its economic contribution will reach Rs 22 trillion in 2025, up from Rs 21 trillion in 2024. This growth is driven by robust domestic and international travel, with domestic spending expected to hit Rs 16.8 trillion and international visitor spending projected at Rs 3.2 trillion in 2025.
The World Travel & Tourism Council (WTTC) forecasts that by 2035, the sector’s value could nearly double to Rs 42 trillion, creating approximately 16 million new jobs. This expansion would elevate the total employment in the sector to over 64 million, underscoring tourism’s pivotal role in India’s economic landscape.
“India is well-placed to become one of the world’s most dynamic tourism economies, with its dynamic mix of heritage, natural beauty, and modern innovation. This includes unlocking the potential of small and medium-sized enterprises which form the backbone of the sector and drive innovation across communities and regions,” the WTTC said.
Julia Simpson, President and CEO of WTTC, while speaking to the media in New Delhi on Tuesday, highlighted India’s potential to benefit from shifts in global travel patterns amid geopolitical uncertainties. She emphasised the need for increased investment in marketing and infrastructure to maintain competitiveness on a global scale.
“I know some of you want to talk to me about domestic travel. I actually think it’s a very significant and key cornerstone of the travel and tourism economy here in India, international travel has now returned with unprecedented vigour, surpassing all previous records,” Simpson said, adding, “The revival of international tourism is propelling travel, tourism into a new era of growth in India.”
How India’s Aviation Sector Is Catalysing Tourism Growth
India’s aviation sector is integral to the tourism industry’s expansion. Speaking at the International Air Transport Association (IATA) Annual General Meeting (AGM) and World Air Transport Summit, IndiGo Airlines CEO Pieter Elbers described India as a “beautiful opportunity,” noting the country’s scale and potential in both domestic and international markets.
IndiGo plans to add 10 new international destinations and introduce business class offerings on select routes in 2025.
The airline is also investing Rs 1,100 crore in a Maintenance, Repair, and Overhaul (MRO) facility at Bengaluru Airport, expected to create over 750 direct jobs and enhance the airport’s aircraft handling capacity.
Furthermore, Airbus has recognised India’s significance in its global operations, with every commercial Airbus aircraft currently flying being partly manufactured in India. IndiGo and Air India are among Airbus’s top three global customers, with pending deliveries of 916 and 344 aircraft, respectively.
Prime Minister Narendra Modi has outlined ambitious plans to transform India into a major aviation hub, aiming to increase the number of airports from 157 in 2024 to 400 by 2047.
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