“As we anticipate the Union Budget 2025, we are optimistic about transformative initiatives that can elevate India’s hospitality sector to unprecedented heights. The industry has showcased immense potential, with an impressive occupancy rate of 68% in the last financial year—the highest in a decade—driven by robust leisure and business travel growth.

Despite the Asia-Pacific region recording over 230 million international arrivals in 2023, India accounted for only 7.2 million, underscoring untapped opportunities. To harness this potential, continued investments in robust infrastructure development are essential. We hope the Union Budget will focus on policies accelerating infrastructure growth, streamlining approvals, and encouraging private sector participation. Granting entire sector status to the hospitality industry could be a pivotal move, expediting financing and approvals and positioning India as a global tourism hub.

Additionally, fostering innovation in sustainable tourism and introducing incentives for green practices will benefit businesses and ensure long-term environmental stewardship. These measures will add a significant dimension to the industry’s progress and resilience.”

– Manoj Bhat, MD & CEO, Mahindra Holidays & Resorts India Limited