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Massive Tourism Push: Govt Aims For 10% Economy Share

Published On: July 19, 2025
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The Indian government is setting an ambitious goal to elevate tourism’s contribution to the national economy to 10% by 2047.

Boosting Tourism’s Economic Footprint

Union Minister of Culture and Tourism, Shri Gajendra Singh Shekhawat, recently outlined the government’s commitment to significantly expanding the tourism sector. Currently, tourism contributes between 5-6% to India’s economy.

The long-term vision is to increase this share to a substantial 10% by 2047. This target aligns with global tourism benchmarks and anticipates a significant growth in India’s overall economy, projected to reach around $32 trillion from its current $4 trillion.

The tourism sector itself is expected to witness a robust compounded annual growth rate (CAGR) of 24%, signaling a period of rapid expansion.

India’s Unique Cultural & Spiritual Appeal

India’s diverse landscape offers a rich tapestry of experiences for tourists worldwide. Each state boasts a unique cultural identity, providing varied attractions from historical sites to vibrant contemporary cities.

The Minister highlighted India’s unparalleled strength in spiritual tourism. In this specific niche, India stands alone globally, drawing visitors from across the world seeking spiritual journeys and enlightenment.

Strengthening Infrastructure for Growth

A decade ago, inadequate infrastructure posed a significant challenge to the growth of tourism in India. However, the government has since focused heavily on improving connectivity and facilities nationwide.

These infrastructure advancements have opened up vast new opportunities for the tourism sector. Enhanced roads, airports, and other facilities make it easier for both domestic and international visitors to explore the country.

Global Aspirations, Domestic Strength

Last year, India welcomed approximately one crore (10 million) international tourists. While this number might appear smaller compared to destinations like Thailand (4 crore), Switzerland (3 crore), or Dubai (2.5 crore), India holds a distinct advantage.

Unlike many new tourist hubs that rely almost entirely on international visitors, India possesses a massive and thriving domestic tourism market. This strong internal travel culture provides a robust foundation for the sector’s continued growth and resilience.

Focus on Sustainable Development

Beyond economic targets, the government is also emphasizing sustainable growth within the tourism sector. The aim is to balance rapid expansion with environmental preservation and cultural integrity.

This approach ensures that tourism benefits local communities and remains viable for future generations, contributing positively to both the economy and the environment.

  • India aims for tourism to contribute 10% to its economy by 2047, up from the current 5-6%.
  • The tourism sector is projected to achieve a 24% compounded annual growth rate (CAGR).
  • Improved infrastructure and India’s unique spiritual tourism potential are key drivers.
  • India’s strong domestic tourism market provides a significant advantage over other global destinations.
  • Sustainable development is a core principle guiding the sector’s expansion.

This ambitious vision underscores the government’s belief in tourism’s potential to be a significant economic engine, contributing to India’s overall prosperity and global standing.

Anshu Kaushik

Anshu Kaushik is an automotive analyst and business writer with over 8 years of experience covering market trends, consumer insights, and product innovations. With a background in finance and a lifelong passion for engineering, he bridges technical depth and economic perspective in his coverage. His work has been cited in business journals and product strategy briefs. Anshu’s insights help readers make confident, informed decisions in fast-moving sectors like cars and commerce. Find him on LinkedIn.

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