Mukesh Kumar Meshram, Principal Secretary, Tourism & Culture, UP, informed that under the Uttar Pradesh Tourism Policy 2022, the state has received investment proposals worth ₹1 trillion in the hospitality sector in the last two years. The proposals were received after the state organised the Global Investors Summit in February 2023.

Odisha has attracted ₹8,155 crore investment at the ‘Utkarsh Odisha – Make in Odisha Conclave 2025,’ for luxury hotels, resorts, adventure, and convention centres. As per Pravati Parida, Deputy Chief Minister, Odisha, the state is planning to promote itself as a preferred destination for the MICE and destination weddings segment and concert tourism.

Reacting to the Budget-2025, Sunil Kumar, President, TAAI, said, “The Indian government’s recent budget reflects a strong commitment to boosting tourism. With initiatives like visa waivers to attract international tourists and upgrading 50 major tourist sites in collaboration with states, the focus is on positioning India as a top global destination. These measures, including investments in infrastructure and connectivity, are designed to enhance India’s tourism appeal. Visa waivers, in particular, will ease travel hurdles, inviting more foreign tourists and driving revenue.” He added that the government also emphasises medical tourism, recognising India’s world-class healthcare facilities. Through partnerships with the private sector, medical tourism is poised for growth. Furthermore, the Udaan scheme’s expansion to 120 destinations will facilitate travel, while Mudra loans for homestays will support affordable accommodation options.

Expressing his views, Sanjeev Mehra, President, SKÅL International (India), said, “The Union Budget 2025 has introduced promising initiatives for the travel, tourism, and hospitality industry. The focus on developing the top 50 tourist destinations and providing PLI-linked incentives to states will significantly enhance infrastructure, accessibility, and visitor experiences, strengthening India’s position as a global tourism hub.” He further said that the expansion of air connectivity through the modified UDAN scheme, including Patna airport’s expansion and new Greenfield airports, will promote regional tourism and improve accessibility to lesser-explored destinations. Additionally, the allocation of ₹25,000 crore for the Maritime Development Fund will boost cruise and coastal tourism. A key highlight is the emphasis on medical tourism through the “Heal in India” initiative, supported by a PPP model and easier visa norms. India’s high-quality yet affordable healthcare services will make it a stronger global destination for medical travellers. The introduction of MUDRA loans for homestays will further empower small hospitality entrepreneurs, encouraging sustainable and community-driven tourism, he added. This budget is inclusive, ticking the right boxes, though it lacks a major transformative push. However, addressing India’s low per capita income remains crucial for long-term growth. As President of Skål International India and a travel expert for 30 years, I strongly believe that India must now emerge as a global travel business hub like Singapore and Dubai. This budget is a step in the right direction, and we remain committed to making India a world-class travel destination, he concluded.

Reacting to the Union Budget, Pieter Elbers, CEO, IndiGo, said, “The Union Budget 2025 has outlined various great initiatives to further develop a future-ready travel ecosystem, with emphasis on people and infrastructure, and aviation as a key enabler. Investment in developing world-class airports, enhancing regional connectivity, capacity upgrades, procedures, regulatory framework and streamlined visa facilities, will all play critical role in bringing this vision of developing India into a global aviation hub to life. By strengthening both domestic and international connectivity, we are fueling economic progress, bridging communities, and reinforcing aviation’s role as a catalyst for national growth and collectively building India as a leading global economic powerhouse.”

Expressing his happiness over the Budget 2025-2026, KB Kachru, President, HAI, said, “Budget is progressive, especially with its focus on tourism and job creation. The government’s commitment to developing 50 new destinations, improving infrastructure, and leveraging Public-Private Partnerships (PPP) is promising. This year’s budget very well highlights the importance of promoting Buddhist tourism with neighbouring countries and simplifying visa processes to enhance international travel. With India’s world-class hospitals, we have great potential in medical tourism, but there is a need to collaborate with the medical fraternity to attract international visitors. The introduction of Mudra loans for homestays will support startups and entrepreneurs in expanding homestay offerings, further boosting tourism. Overall, the initiatives taken by the government in this year’s budget are the steps in the right direction for the industry.”

Nirmala Sitharaman, Finance Minister, GoI, announced “Govt to increase TCS on remittances under RBI’s Liberalised remittance scheme from ₹7 lakh to ₹10 lakh. She also said, “In the budget of July 2024, the delay of the payments of the TDS up to the due date of filing statements was decriminalised; I propose the same from the TCS provisions as well.” Number of rates and thresholds above which TDS is deducted to be reduced Limit for tax deduction on interest for senior citizens to be doubled from ₹50,000 to? 1 lakh Annual limit for TDS on rent to be increased from ₹2.40 lakh to ₹6 lakh Threshold to collect tax at source on remittances under RBI’s Liberalized Remittance Scheme to be raised from ₹7 lakh to ₹10 lakh

Nirmala Sitharamann, Finance Minister, GoI said that medical tourism and ‘heal in India’ to be promoted in partnership with the private sector. In a bid to boost tourism, she revealed plans to promote medical tourism in partnership with the private sector and place special emphasis on destinations linked to the life and times of Lord Buddha. PM Gati Shakti data will be made accessible to the private sector, and the development of the top 50 tourist destinations will be carried out in partnership with state governments while adding that mudra loans to be provided to homestays. Presenting the Budget for 2025-26, Sitharaman also mentioned that hotels will also be included in the harmonised scheme for enhanced tourism infrastructure and financial support would be provided for the Western Kosi Canal project, which will benefit 50,000 hectares in the Mithilanchal region of Bihar.

Nirmala Sitharaman, Finance Minister, GoI announced that the Modified UDAN scheme will be launched to enhance regional connectivity to connect 120 new destinations and cater to 4 crore passengers over the next 10 years. The scheme will also support helipads and smaller airports in hilly, aspirational and northeast regional districts. She added that Greenfield airports will be facilitated in Bihar to meet the future needs of the state. These will be in addition to the expansion of the capacity of Patna airport and Brownfield airport in Bihta. Financial support will be provided for Western Kosi Canal ERM project in Mithilanchal, benefitting a large number of farmers in the Mithilanchal region of Bihar.

Announcing the tourism sector, Nirmala Sitharamann, Finance Minister, GoI said that an infusion of ₹20,000 crore to increase tourism-led employment is going to help several states that house top tourist locations build infrastructure and boost connectivity. The onus has been put on states to acquire land to build hotels and other required facilities. Also, a continued focus to promote India as key destination on the world map for on spiritual tourism gets a boost – especially projecting it as a birthplace of Lord Ram through the Ramayana circuit, and as the birthplace of Buddha through the Buddhist circuit, roping in south east Asian tourist footfall. They are also likely to get visa fee waivers, so will the medical tourism segment, with a focus on Heal in India, she added.