India's travel and tourism sector continued its strong growth trajectory in 2025, with the industry contributing $263.6 billion to the economy and supporting 46.2 million jobs, according to new research by the World Travel & Tourism Council (WTTC).
The latest WTTC Economic Impact Research, sponsored by Chase
Travel, highlights India as one of the world's fastest-growing travel and
tourism economies, driven by a robust domestic market, sustained infrastructure
investment and a diverse tourism offering that encourages some of the longest
visitor stays globally.
The sector expanded by 7.3% in 2025, significantly outpacing
the global average growth rate of 4.1%, reinforcing its role as a major
contributor to India's economic development.
Travel and tourism
now account for 6.6% of the country's GDP and support more than one in every 10
jobs nationwide.
Domestic tourism remained the backbone of the industry's
success, with spending reaching $203 billion in 2025, representing 86% of total
travel and tourism expenditure.
Domestic visitor spending also grew by more than 10% year on
year, underlining the resilience and scale of India's home market.
While domestic demand continues to drive growth, WTTC
identified international tourism as the country's next major opportunity.
International visitor spending currently accounts for around
14% of total tourism expenditure, suggesting significant scope for India to
capture a larger share of the expanding global travel market.
The report noted that India already enjoys a competitive
advantage, with international visitors staying an average of 18.5 days—one of
the longest average lengths of stay worldwide.
WTTC said this reflects the country's rich mix of cultural,
heritage, nature and leisure experiences and provides a strong foundation for
attracting higher-value international travellers.
Looking ahead, the council expects the sector to maintain
its momentum.
In 2026, travel and tourism GDP is forecast to grow by 8.5%,
increasing its economic contribution to $286.1 billion while supporting 48.1
million jobs.
Over the longer term, WTTC projects India's travel and
tourism economy will almost double in size to $527 billion by 2036, elevating
the country from the 10th-largest travel and tourism economy globally to fourth
place.
International visitor spending is forecast to rise by nearly
60% over the same period.
To unlock this next phase of growth, WTTC called for
continued collaboration between government and the private sector.
Key priorities include improving visa facilitation through
enhanced e-visa processes, expanding international air connectivity, investing
in transport infrastructure such as the Mumbai-Ahmedabad High-Speed Rail
corridor, strengthening digital public infrastructure and visitor services,
increasing international destination marketing, and further developing
heritage, cultural, nature and eco-tourism experiences.
WTTC said India's strong domestic market provides a solid
platform for future expansion, but attracting a greater share of international
visitor spending will be key to strengthening the country's position as a
leading global tourism destination.
The council concluded that with continued public-private
collaboration, investment and innovation, India is well placed to become one of
the world's leading travel and tourism success stories over the next decade,
delivering substantial economic and social benefits while further enhancing its
global competitiveness.
Gloria Guevara, President & CEO of WTTC, said: "India
has every ingredient to become one of the world's great international tourism
success stories. The country has built one of the strongest domestic Travel
& Tourism markets anywhere in the world, invested significantly in
infrastructure and offers visitors an extraordinary diversity of experiences,
reflected in one of the longest average visitor stays globally. These
achievements deserve recognition. They provide an exceptionally strong
foundation for the next phase of growth.”
Guevara added: “The opportunity now is to build on this success by attracting an even greater share of international travel. Through continued collaboration between government and the private sector, enhanced connectivity, seamless and secure travel experiences, and continued progress on visa facilitation, India can unlock even greater economic benefits for communities across the country while strengthening its position as one of the world's leading Travel & Tourism destinations." -TradeArabia News Service