Tourexpi
India has become one of the world's fastest-growing
travel and tourism economies, supported by a robust domestic market, major
infrastructure investment and a diverse tourism offering. According to new
research by the World Travel & Tourism Council (WTTC), the country's next
growth phase lies in attracting a larger share of international visitor
spending while building on the strength of its domestic tourism sector.
WTTC's latest Economic Impact Research, sponsored by
Chase Travel, shows that travel and tourism contributed US$263.6 billion to
India's economy in 2025 and supported 46.2 million jobs. The sector expanded by
7.3% during the year, significantly outperforming the global average growth
rate of 4.1%.
Domestic tourism remains the industry's backbone
India's domestic tourism market continues to rank
among the world's strongest. Domestic visitor spending reached US$203 billion
in 2025, accounting for 86% of total travel and tourism expenditure and
increasing by more than 10% compared with the previous year.
Travel and tourism now contribute 6.6% of India's
gross domestic product and support more than one in every ten jobs nationwide.
While domestic demand remains the sector's driving
force, WTTC identifies considerable potential for further international growth.
International visitors currently account for around 14% of total tourism
spending, leaving significant room for expansion as global travel continues to
recover.
International visitors already stay longer than
average
One of India's key competitive advantages is the
length of stay among overseas visitors. International travellers spend an
average of 18.5 days in the country, one of the highest averages worldwide.
According to WTTC, this reflects the diversity of India's cultural heritage,
natural attractions and travel experiences.
Forecasts indicate that international visitor spending
could increase by almost 60% over the next decade, helping to strengthen
India's position in the global tourism market.
Sector expected to nearly double by 2036
WTTC expects travel and tourism to continue
outperforming the wider economy in 2026. The sector's contribution to GDP is
forecast to increase by 8.5% to US$286.1 billion while supporting 48.1 million
jobs.
Looking ahead to 2036, the council projects India's
travel and tourism economy will almost double in size to US$527 billion. If
current growth continues, India is expected to move from the world's
tenth-largest travel and tourism economy to fourth place globally.
WTTC calls for stronger international positioning
“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.
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,” said Gloria Guevara, President and
CEO of WTTC.
Priorities for future growth
To strengthen international demand, WTTC recommends
continued cooperation between government and the private sector. Key priorities
include expanding international air connectivity, further simplifying e-visa
procedures, investing in transport infrastructure and enhancing digital
services for visitors.
The organisation also highlights the importance of
promoting India's heritage, cultural, nature and ecotourism experiences more
actively in international source markets. According to WTTC, combining these
measures with continued investment and innovation could enable India to capture
a significantly larger share of global travel demand over the coming decade.
Image Credit: © AI generated illustration
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