International tourism in India will boom in the coming years as the economy continues to grow and the middle-class increases. The country has one of the youngest populations, and this, too, will contribute heavily to outbound travel. Besides, as businesses flourish, outbound travel for work is expected to rise.
According to a recently released report, India’s international tourism is likely to reach $42 billion by 2024. The government is also expected to amend and form new policies to promote international travel. These norms will streamline and speed up the processes, which will make it easier for people to travel abroad. The government might also look to build strong bilateral relations with tourists-friendly nations for inbound as well as outbound travel.
In 2021 outbound travel fell to nearly $12.6 billion compared to $22.9 billion in 2019. This reflects the impact of the pandemic but still points to a huge potential. With the right strategies and government efforts, this market might increase as much as two-fold.
Nearly 20% of India’s outbound traffic is directed to Europe, 10% travel to Australia and New Zealand, while the rest is directed towards South-East Asia.
The report titled ‘Outbound Travel and Tourism – An Opportunity Untapped’ has been published by Nangia Andersen LLP in association with FICCI.
