homebusiness NewsDomestic hotel industry estimated to contribute $1 trillion to India’s GDP by 2047: Report
The direct contribution of the domestic hotel industry to the GDP was $40 billion last year and is expected to be $68 billion by 2027 and by 2047, it will reach around $1 trillion, stated the ‘Vision 2047: Indian Hotel Industry’ report by the Hotel Association of India (HAI) and Benori Knowledge.
By PTI Aug 20, 2023 4:29:46 PM IST (Published)
Hotel industry’s direct contribution to India’s GDP is likely to touch $1 trillion by 2047, driven by a significant rise in domestic tourist vists as well as international arrives as per the ‘Vision 2047: Indian Hotel Industry’ report by the Hotel Association of India (HAI) and Benori Knowledge.
The direct contribution of the domestic hotel industry to the GDP was $40 billion last year and is expected to be $68 billion by 2027 and by 2047, it will reach around $1 trillion, the report added.
The hospitality industry body also pointted that for the hotels sector to achieve this target, the accomodation growth will need to go beyond the metros to two and three-tier cities as well as the rural areas.
However, the report clarified that the total contribution includes aspects of services from industry verticles that are corresponding such as food and beverage, salon and spas but excluding considering of services market growth, hence removing the scenario-based contribution estimates.
According to the report, the estimated growth could be attributed to factors like GDP growth, increase in inflow of domestic tourists, increase in income level and foreign tourist arrivals (FTA).
