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Travel industry welcomes Budget 2026’s long-term vision for tourism | Industry reacts

India’s travel and tourism industry has welcomed Budget 2026 as a forward-looking statement of intent, signalling the government’s recognition of tourism as a long-term economic driver rather than a seasonal or auxiliary sector. The Union Budget’s emphasis on employment creation, destination development, skill-building and sustainability has resonated strongly with industry leaders across hospitality, aviation, travel trade and destination management.

Finance Minister Nirmala Sitharaman’s announcements reinforced tourism’s role in supporting livelihoods, especially in rural and lesser-known regions, while also strengthening India’s competitiveness in the global travel marketplace.

Industry experts believe the renewed focus on skilling and capacity building will help bridge long-standing workforce gaps. Several stakeholders noted that structured investment in human capital could improve service standards and unlock higher-value inbound tourism.

The emphasis on destination-centric development, including circuits linked to culture, spirituality and nature, has also drawn positive reactions. Industry voices see this as a timely opportunity to diversify tourism flows beyond established hotspots, easing pressure on over-visited destinations while bringing economic activity to emerging regions.

Overall, the travel and tourism fraternity views Budget 2026 as a confidence-building exercise that places the sector firmly within India’s broader development narrative. While industry experts await further clarity on implementation timelines and private-sector participation, here are some of the reactions from the industry following the budget announcement:

  • Zubin Karkaria, Founder & CEO, VFS Global Group  
    “The Union Budget charts a strong roadmap to Vision 2047, positioning tourism, mobility, and human capital as engines of long-term growth. By recognising tourism as a catalyst for jobs, foreign exchange, and regional development, the government is building a more competitive and resilient travel ecosystem.  

    The emphasis on capacity building is encouraging with measures towards infrastructure development, skill enhancement, and institutional support that will help strengthen service quality, destination readiness, and ease of doing business. Initiatives like the National Institute of Hospitality, upskilling of tourist guides, and the National Destination Digital Knowledge Grid will have an enduring impact in the long-term.  

    Sustainable, heritage, and experiential tourism, along with support for medical tourism hubs, will diversify India’s offerings, while reductions in TCS on overseas tour packages and TDS under the Liberalised Remittance Scheme for education will ease financial pressure on Indian travellers and students, boosting global mobility and connectivity.”  
     
  • JB Singh, Director, InterGlobe Air Transport and President & CEO of InterGlobe Hotels  
    “The Budget provides a constructive push for India’s travel and hospitality sectors. The development of cultural, heritage, and nature-based destinations, along with emphasis on skilling and institutional capacity-building, reflects a clear focus on strengthening the sector’s competitiveness, talent, and service standards. It also acknowledges India’s growing outbound tourism market, and the rationalisation of TCS on overseas travel supports this momentum. Together, these steps can enhance India’s global standing in travel and hospitality and support the long-term growth of the sector.”  
     
  • Arjun Baljee, Founder of ICONIQA + President of Royal Orchid Hotels Ltd.  
    “The Union Budget 2026 reinforces long-term economic momentum through a strong push on infrastructure expansion, logistics efficiency and ease of doing business, all of which directly strengthen India’s travel and business ecosystem. The proposed ₹2.78 lakh crore outlay in Railways Capital and ₹3.10 lakh crore oulay in Roads & Highways is a fundamental shift which is not just about building infrastructure - it's about building accessibility to experiences. Tier-2 and Tier-3 cities with rich cultural heritage but limited connectivity will finally enter the mainstream travel circuit. We're not just looking at improved logistics for our supply chains, we're looking at millions of new domestic travelers gaining seamless access to hotels, resorts, and experiences that were previously out of reach.  

    The emphasis on experiential tourism - from developing trekking circuits to curating turtle trails along our coastal ecosystems and enhancing archaeological sites- signals a strong push to evolving traveler preferences. Today's discerning tourists seek authentic, transformative experiences and these initiatives position India to capture premium segments of the adventure and heritage tourism markets.  

    Additionally, tax and compliance simplifications, along with measures that ease travel costs and promote seamless mobility, will further stimulate both domestic and business travel demand. As hotel development increasingly follows infrastructure and industrial growth corridors, these measures create a positive environment for sustained hospitality sector expansion. We remain committed to supporting India’s growth story by strengthening quality hospitality offerings across emerging destinations.”  
     
  • Jitin Makkar, Sr. VC & Group Head, Corporate Ratings, ICRA Ltd.  
    “Development of several heritage and cultural sites, including 15 new archaeological sites, hosting the first-ever Global Big Cat Summit, continued focus on medical tourism, and mountain trains to specific states in hill stations are likely to boost the demand for domestic hospitality sector while also attracting foreign tourists. This apart, set up of National Institute of Hospitality focusing on upskilling, and proposals around enhancing trekking experiences, turtle trails are key positives. While the reduction in TCS on international tour programme makes international travel cheaper, this is unlikely to materially substitute the domestic demand.”   
     
  • Rajiv Mehra, General Secretary, FAITH  
    "We welcome the government’s initiatives to develop new adventure trail sites across states, the focus on upskilling tourist guides, the use of AI for enhancing tourist destinations, and the reduction of TCS on overseas travel. These are progressive steps for the sector. However, we were expecting a clear budgetary allocation for international tourism promotion, which appears to have been missed. Strengthening India’s visibility in global markets and measures for soft branding are critical to accelerating inbound tourism.  

    Additionally, measures around improved air connectivity, ease of e-visa access, rationalisation of GST for tourism services, and a single-window approach for tourism infrastructure projects would have further strengthened the growth momentum. A focused push in these areas can significantly enhance India’s competitiveness as a global tourism destination."  
     
  • Karan Agarwal, Director, Cox & Kings  
    “What stood out for me in this Budget is that it doesn’t treat travel as a one-sided story. Outbound travel needed a course correction, and cutting TCS on foreign tour packages to 2% does exactly that, it takes away a friction that travellers were feeling every time they planned a trip. On the inbound side, the intent is clearly longer-term. What stands out is the emphasis on cultural and experiential travel, whether through developing archaeological sites, strengthening Buddhist circuits, or building skilled local guide networks, tells us the focus is finally shifting to how India is experienced, not just how many people arrive. If this is executed well, it could move Indian tourism from being crowded and transactional to curated and experience-led.”  
     
  • Vinay Dube, Founder and CEO, Akasa Air  
    “The Union Budget for FY26–27 presents a forward-looking framework to comprehensively accelerate tourism and mobility across the country. With travel demand increasingly driven by Tier 2 and Tier 3 cities along with the metros, the focus on strengthening last-mile connectivity and infrastructure is encouraging for the travel industry. We appreciate the government’s continued focus on creating a resilient, future-ready travel ecosystem and thank them for their sustained commitment to building a Viksit Bharat.”  
     
  • Pradeep Shetty, Spokesperson, Hotel and Restaurant Association (Western India) – HRAWI  
    “Placing tourism at the centre of India’s growth strategy in the Union Budget 2026–27 is a welcome move. Right steps with clear focus on skilling, destination development and experiential offerings like spiritual, heritage and wildlife circuits will certainly help strengthen domestic tourism. Initiatives such as the National Institute of Hospitality and the upskilling of guides are positive steps toward enhancing service quality and employability. However, critical structural enablers remain unaddressed. To truly unlock the sector’s potential for jobs and foreign exchange; we urgently need infrastructure status for the hospitality industry, GST rationalisation, tax incentives for new and green hotels, and stronger measures to boost FTAs. Without these, achieving scalable, regionally-balanced tourism growth will remain a challenge.”  
     
  • Samir MC, CEO, Tamara Leisure Experiences  
    “This Budget lays out a coherent, long-term blueprint to take India’s hospitality and tourism sector decisively onto the global stage. By strengthening institutional capability through a National Institute of Hospitality, envisioned as a bridge between academia, industry, and government, alongside a clear emphasis on skilling and connectivity, it creates a strong foundation for sustainable sectoral growth.  

    Particularly encouraging is the shift towards experience-led tourism, spanning archaeological and heritage sites, spiritual and Buddhist circuits, temple towns, and nature-based destinations across emerging regions. The focus on immersive storytelling, destination-led infrastructure, and development beyond metros reflects an approach aligned with building responsible hospitality destinations that are rooted in place, culture, and community. With improved regional and last-mile connectivity, greener mobility solutions, streamlined clearances, and targeted support for Tier II and Tier III cities as growth engines, the ecosystem is becoming more conducive to long-term, responsible growth.  

    Lastly, the emphasis on regional medical hubs and integrated wellness and AYUSH ecosystems further strengthens India’s appeal as a holistic destination, expanding the scope of tourism beyond leisure into healthcare-led, high-value travel. For us, this Budget closely mirrors the long-term vision we have always believed is essential for building meaningful hospitality destinations.”  
     
  • Pragya Adiraj - Founder of Joy n Crew  
    “The Union Budget 2026 signals a clear repositioning of tourism as a structured, year-round economic driver rather than a seasonal activity. Initiatives such as the National Institute of Hospitality, the large-scale training of 10,000 tourist guides in collaboration with IIMs, and the proposed Digital Knowledge Grid reflect a long-term commitment to professionalising tourism education, service quality, and destination planning. The reduction of TCS on overseas tour packages provides immediate cost relief for travellers and is likely to stimulate demand. At the same time, targeted investments in Buddhist circuits across the North-East, experience-led development of archaeological sites, medical tourism hubs, scenic mountain railways, eco-tourism trails, and astro-tourism diversify India’s tourism portfolio beyond conventional circuits. Collectively, these measures strengthen tourism’s role in employment generation, regional development, and cultural preservation, while creating a more resilient and inclusive travel ecosystem for the future.”  
     
  • KB Kachru, President, HAI & Chairman – South Asia, Radisson Hotel Group  
    “Budget 2026-27 reflects a strong focus on accelerating and sustaining economic growth, with a decisive push on infrastructure- both critical drivers for the tourism sector, where growth is closely linked to these factors. The renewed emphasis on the services sector, coupled with the recognition of tourism’s potential to generate employment, boost foreign exchange earnings, and expand local economies, is particularly encouraging.  

    The Budget’s proposals, including the National Institute of Hospitality, aim to strengthen industry-aligned skilling, research, and leadership development. Infrastructure growth in Tier 2–3 cities, the East Coast Tourism Corridor, and importantly focus on medical-value tourism, are expected to boost hotel viability, diversify India’s offerings, and enhance global competitiveness. Content-creator labs will further amplify India’s tourism story. Industry-specific measures, including the development of new tourist experiences and their enhancement through technology, such as the establishment of the National Destination Digital Knowledge Grid, further signal a forward-looking approach.  

    Despite the Budget’s positive thrust, a long-standing aspiration of the sector, comprehensive infrastructure recognition, remains unmet. Realising the sector’s true potential requires key structural reforms: expanding infrastructure recognition beyond the currently designated destinations to ensure equitable access to capital, placing tourism on the concurrent list to strengthen Centre-state policy coordination, and rationalising GST to enhance competitiveness. These enablers will amplify the impact of current initiatives and provide a strong foundation for sustainable, long-term growth across the tourism sector.  

    Given the government’s clear commitment to the sector, we look forward to engaging in post-budget discussions on sector specific policies including Marketing India overseas that can translate this intent into tangible outcome.  

    HAI remains dedicated to supporting the government’s vision of expanding the tourism economy to 10% of GDP by 2047, and ideally, achieving this milestone even sooner.”  
     
  • Vikram Lalvani, Managing Director & CEO, Sterling Holiday Resorts  
    “The Union Budget 2026 reflects a clear thematic shift in India’s tourism agenda from destinations to purpose-led journeys. It positions tourism as a multi-dimensional engine anchored in wellness and healing, spiritual and cultural circuits, nature and conservation-led travel, adventure and mountain ecosystems, and stronger regional connectivity that enables exploration beyond metros.  

    Equally significant is the focus on strengthening the sector’s foundations through hospitality education and skilling, structured upskilling of guides, and the creation of a national digital knowledge grid—measures that can raise service standards, enhance visitor experience, and support sustainable destination development.  

    Initiatives spanning Buddhist circuits, sustainable Himalayan hiking trails, medical and wellness tourism, Ayurveda, heritage-led travel, and conservation-linked trails such as Odisha’s turtle nesting corridors together create the right ecosystem for responsible growth where communities, travellers and destinations all benefit. Overall, the Budget creates a strong tailwind for experience-led hospitality and tourism models built around circuits, longer stays and more meaningful travel.”  
     
  • Aalap Bansal Partner G&PS, Industrial & Infrastructure Development Advisory and Lead- Tourism, Sports and Leisure, KPMG in India  
    “Budget 2026-27 firmly establishes India as a high-value global care hub. By focusing on Medical Tourism, the government recognises healthcare as a dual engine for economic growth and skilled employment. This creates a robust 'care economy' corridor, integrating clinical excellence with world-class hospitality to drive sustainable international demand.  

    Budget 2026-27 signals a shift to 'experience management.' By curating 15 iconic archaeological sites and Buddhist circuits as immersive cultural hubs, the government is unlocking the high-yield potential of India’s civilisational assets. This isn't just about footfall; it's about value capture. The integration of a 'National Destination Digital Knowledge Grid' with tangible infrastructure—like the new Seaplane VGF scheme and sustainable trekking corridors—creates a premium ecosystem. We are moving towards an era where India’s 'Orange Economy' and heritage sectors become significant employment engines for local communities"  
     
  • Manjari Singhal, Chief Growth and Business Officer, Cleartrip  
    “The Union Budget 2026 signals a clear and consistent commitment to strengthening India’s travel and tourism ecosystem. Continued investments in building an integrated network of roads, railways, airports and emerging connectivity like seaplanes will make travel easier, more accessible and better distributed, supporting the next phase of both domestic and inbound tourism growth.  

    As infrastructure improves access and connectivity, these efforts help travellers feel more confident to explore new regions and experiences. Overall, the Budget reinforces travel and tourism as long-term drivers of jobs, regional development and inclusive growth, and sets the right foundation for India’s inbound and outbound travel story in the years ahead."  
     
  • Gaurav Malik, Country Director, Indian Subcontinent & Indian Ocean Islands at Agoda   
    “Agoda welcomes the Union Budget and congratulates the Government on placing travel and tourism firmly within India’s next phase of growth. The Budget recognises the travel sector as a practical engine for jobs, skills, and regional participation, while responding to how traveller preferences are changing across the country.  

    The focus on capability-building and destination readiness stands out. Measures such as setting up a National Institute of Hospitality, upskilling guides at iconic sites, and creating a National Destination Digital Knowledge Grid show a holistic approach that combines talent, technology, and storytelling. At the same time, investments in experiential destinations, sustainable nature-based trails, cultural sites, and global wildlife engagement reflect a clear intent to broaden travel beyond large cities and enable year-round demand across emerging destinations.  

    Overall, the Budget sends a clear message that tourism plays a role not only in economic expansion, but also in shaping how people explore India and the world. Agoda looks forward to supporting this momentum by improving discovery, choice, and booking ease for travellers as travel across India becomes broader and more experience led.”  
     
  • Chirag Agarwal, Co-founder & CEO, TravClan     
    “The Union Budget 2026 takes a constructive step towards addressing some long-standing operational challenges faced by outbound travel businesses. The reduction of TCS on overseas tour packages to 2% is a welcome move and will ease immediate cash-flow pressure for both travellers and agents, particularly in high-volume, cross-border transactions.    

    Effective implementation will now be critical. Clear guidance on refund timelines, reconciliation processes and system readiness will determine how quickly this relief translates into day-to-day business operations. Beyond taxation, access to formal credit for booking-led travel businesses remains an important gap, as traditional lending frameworks still do not fully account for advance collections and extended settlement cycles.   

    As outbound demand continues to expand from non-metro markets, sustained policy focus on international connectivity, efficient payment systems and regulatory simplicity will be important to support long-term growth. Overall, the Budget signals positive intent, and targeted follow-through can further strengthen the operating environment for Indian travel businesses.”    
     
  • Aditya Sanghi, CEO of Hotelogix     
    “The Union Budget 2026–2027 sends a clear signal that the Indian tourism and hospitality industry is one of the most important drivers of jobs and growth. Enabling this industry through initiatives such as a National Institute of Hospitality, talent upskilling, and digital infrastructure are welcome steps. However, execution on the ground will define success in the long run. It must empower homegrown midscale hotels in Tier II/III markets to access modern solutions and a skilled workforce easily to thrive sustainably. At Hotelogix, we see this as a pivotal moment to support hotels in this segment with cloud-led, scalable technology that helps them ensure smarter operations and deliver consistently better guest experiences.”    
     
  • Aviral Gupta CEO, Zostel & Zo World    
    “The Union Budget 2026 recognises tourism as a strategic pillar of India’s growth story. With tourism contributing nearly 7–8% of GDP and driven by strong domestic and international travel demand, the sector is now firmly anchored within an infrastructure-led growth approach. The proposed ₹12.2 trillion capital expenditure across roads, railways, airports and regional connectivity will significantly improve access to heritage, mountain, coastal and emerging tourism circuits.    

    The Budget’s reduction of the tax on overseas tour programme packages from 5% to 2% is a positive step that simplifies outbound travel and reflects the growing scale of global tourism activity. The focus on experience quality through the training of 10,000 certified tourist guides, investments in hospitality education, and the development of 15 archaeological and cultural sites into experiential destinations marks a clear shift towards value-led tourism. For Zostel, this aligns closely with rising demand for trekking, hiking and nature-led travel, improved connectivity to remote and coastal regions, and destination development across Himachal Pradesh, Uttarakhand, Jammu & Kashmir, the Western Ghats and coastal India. The announcement of medical tourism hubs further strengthens India’s international tourism appeal.    

    Together, these measures will encourage more international tourists to visit India, support employment and local entrepreneurship, and showcase the country’s natural and historical richness on a global stage.”    
     
  • Manju Sharma, Managing Director, Jaypee Hotel and Resorts     
    The Union Budget 2026 clearly recognises tourism and hospitality as key drivers of employment, foreign exchange, and regional growth. The proposed National Institute of Hospitality, through the upgradation of NCHMCT, will significantly strengthen talent development and service excellence across the sector. The pilot upskilling programme for tourist guides is a timely move towards delivering consistent, high-quality experiences at India’s most iconic destination.   

    The creation of a National Destination Digital Knowledge Grid is a particularly forward-looking step, combining heritage preservation with digital enablement and opening new avenues for research, content creation, and destination storytelling. The focus on sustainable nature and eco-tourism across trekking, wildlife, birding, and coastal trails demonstrates a balanced approach that aligns tourism growth with environmental responsibility.

    For experience-led hospitality groups such as Jaypee Hotels & Resorts, these measures will support deeper destination development, higher service standards, and more immersive guest experiences - reinforcing India’s position as a globally competitive tourism destination.”    
     
  • Mahesh Iyer – Managing Director & CEO, Thomas Cook (India) Ltd     
    “The Union Budget 2026 reflects a strong recognition of tourism as a strategic pillar for economic growth, employment generation, and regional development. From a consumer standpoint, the rationalisation of Tax Collected at Source is a welcome move, the simplified flat 2% TCS on overseas tour programme packages replaces the earlier two-tier structure, easing compliance and unblocking cash flows for travellers. We also appreciate the reduction of TCS to 2% on education and medical remittances, which will significantly ease the burden on these important long-term drivers, especially amid the impact of rupee depreciation.    

    The pilot initiative to upskill 10,000 tourist guides across 20 iconic sites through a standardised 12-week hybrid programme is a strong step towards ensuring quality service delivery and enhancing India’s global competitiveness. Additionally, the development of seven high-speed rail corridors, expansion of 20–25 new National Waterways, and incentives for indigenising seaplane manufacturing will greatly enhance connectivity and unlock new tourism circuits, including remote and island destinations. The proposed scheme to develop five regional medical tourism hubs in partnership with the private sector further strengthens India’s positioning as a global healthcare destination.   

    Overall, the Budget reinforces tourism’s role in driving inclusive growth; however, a higher marketing outlay towards promoting Incredible India could have delivered a powerful double-barrel impact by complementing infrastructure development with stronger global visibility.”  
     
  • Vishal Suri – Managing Director & CEO, SOTC Travel Limited     
    "Budget 2026 sets the stage for accelerated growth in India’s travel and tourism sector. The reduction of TCS on outbound travel to 2% will make international holidays more accessible and boost demand. While the establishment of five regional medical tourism hubs positions India as a leading destination for integrated hospitality and healthcare. High-speed rail corridors, city economic regions and the expansion of nature-based and experiential tourism—from eco-trails and mountain circuits to wildlife and heritage experiences—will enhance connectivity and diversify offerings. Initiatives such as training 10,000 tourist guides, establishing the National Institute of Hospitality, and developing a Digital Knowledge Grid will professionalize the workforce and strengthen planning. Together, these measures enhance the competitiveness of Indian tour operators, attract investment, and create new opportunities across the tourism value chain. We welcome these progressive steps, while continuing to advocate for formal Industry status for tourism to unlock the sector’s full potential.”    
     
  • Sanat Hooja, Partner, Machan Resorts     
    “Budget 2026 sends a clear signal that tourism growth must go hand in hand with environmental responsibility. The focus on nature-based tourism, ecological trails, heritage conservation, and experiential destinations reflects a conscious shift towards building tourism that is mindful, inclusive, and future-ready. Investments in connectivity, destination skilling, and digital documentation of cultural and natural assets will help disperse tourism beyond crowded centres, creating balanced growth for both established and emerging destinations.

    For resorts operating in sensitive ecosystems, such measures encourage thoughtful development rather than volume-led expansion. The continued emphasis on sustainability-driven initiatives is encouraging; however, streamlined licensing processes and clearer, single-window approvals will be critical in enabling both small and large establishments to adopt eco-friendly infrastructure efficiently. Greater institutional support for sustainable practices will further empower responsible operators to invest with confidence.    

    Overall, the Budget lays the groundwork for a more resilient tourism ecosystem—one that values conservation, community engagement, and long-term impact as much as economic growth.”    
     
  • Pushpendra Bansal, COO, Lords Hotels & Resorts     
    “The Union Budget 2026 reflects a steady and encouraging commitment towards strengthening India’s tourism and hospitality ecosystem. The continued focus on infrastructure development, regional connectivity, and destination-led growth will directly support travel demand, particularly across emerging leisure and pilgrimage destinations. Improved roadways, rail networks, airport expansion, and last-mile connectivity will significantly enhance accessibility to Tier II and Tier III markets.    

    The emphasis on economic stability, employment generation, MSME support, and tourism skilling creates a stronger operating environment for the hospitality sector. Initiatives such as tourism skilling, training 10,000 tourist guides, and establishing a National Institute of Hospitality will help build a skilled, service-ready workforce for the industry. When consumer confidence improves and employment opportunities expand, travel becomes a priority rather than a discretionary spend. Support for MSMEs also strengthens the tourism value chain, from local vendors and transport providers to small businesses operating in emerging destinations.    

    These initiatives will drive steady demand across leisure, business, religious tourism, weddings, and medical tourism segments, while allowing hospitality brands to respond better to evolving traveller expectations. The budget did not restore the Input Tax Credit for hotels with room tariffs below ₹7,500, which continues to impact the profitability of budget and mid-scale hotels. Also, there was no reduction in the 18% GST slab for high-end room tariffs, which remains one of the highest globally.   

    Overall, Budget 2026 reflects positive intent and provides momentum for sustained, tourism-led economic growth, with continued collaboration between the government and the private sector being key.”    
     
  • Sarbendra Sarkar, Managing Director & Founder, Cygnett Hotels & Resorts      
    “Budget 2026 presents a comprehensive and future-ready vision for tourism and hospitality, placing India firmly on a high-growth trajectory. The focus on building a world-class hospitality talent hub, along with professional guide training, will significantly raise service standards and create a skilled workforce capable of delivering globally benchmarked experiences. Digital destination platforms and creator-led promotion signal a modern, data-driven approach to tourism marketing that will enhance visibility and demand across regions.

    The reduction of TCS on overseas tour packages to 2 percent is a welcome move that improves travel affordability and sentiment, while the rollout of green high-speed rail corridors will redefine inter-city mobility. Faster, sustainable rail connectivity will encourage shorter, more frequent trips and unlock new demand for city and regional hospitality. Enhanced last-mile access through initiatives such as seaplane connectivity further strengthens destination reach.    

    Equally impactful is the emphasis on eco-friendly mountain trails, heritage site revitalisation, Buddhist circuits and Purvodaya-led tourism development. These initiatives balance conservation with livelihood creation and help diversify tourism beyond traditional markets. The growing focus on medical tourism further positions India as a competitive global destination.    

    For Cygnett Hotels and Resorts, this integrated policy push creates a strong foundation for expansion across business, leisure and emerging destinations. Budget 2026 reinforces confidence in India’s tourism growth story, driven by connectivity, capability and conscious development.”    
     
  • Sumit Mitruka, Founder & CEO, Summit Hotels & Resorts     
    “Improved high-speed rail connectivity to Siliguri is a landmark step for the Northeast, with the potential to fundamentally reshape how the region is discovered and experienced. Though bullet train, faster and more reliable access will reduce travel fatigue, encourage longer stays, and make destinations across Sikkim, North Bengal and the wider Northeast more attractive for both domestic and international travellers. For the hospitality sector, this means stronger seasonality balance, improved viability for off-beat locations, and greater confidence for long-term investment in responsible tourism infrastructure.    

    Equally significant is the announcement around the development of new trekking routes. The Northeast has some of India’s most pristine landscapes, but much of this potential has remained untapped due to limited access and fragmented planning. Structured trekking corridors, developed with safety, sustainability and local participation at the core, can unlock high-value experiential tourism while preserving ecological integrity. Well-planned trails will generate livelihoods for local guides, porters and homestay owners, while also dispersing tourist footfall beyond a few overcrowded destinations.    

    Together, high-speed connectivity and curated adventure tourism create a powerful ecosystem, one that supports regional economies, promotes cultural exchange, and positions the Northeast as a year-round experiential destination rather than a seasonal getaway.”    
     
  • Ritwik Khare, Founder and CEO of ELIVAAS         
    “Budget 2026 outlines a strong, growth-driven vision for tourism and hospitality, with infrastructure, mobility and affordability working together to expand demand. The announcement of seven high-speed rail corridors is particularly significant, as faster rail connectivity will fundamentally change how travellers plan their trips. Reduced travel time encourages more frequent, shorter holidays and makes weekend and mid-week leisure travel far more viable across regions. High-speed rail also offers a cost-effective alternative to air travel, opening the market to a wider customer base that values speed without premium pricing.    

    The reduction in overseas tour package TCS from 5 percent to 2 percent is another positive step, as it improves overall travel sentiment and disposable spending, indirectly benefiting domestic hospitality as travellers balance international and local experiences. Combined with improved infrastructure and destination development, these measures will increase travel velocity and diversify travel patterns beyond peak seasons.

    For ELIVAAS, this creates meaningful opportunities. Faster connectivity and shorter travel cycles align well with the growing preference for private, well-managed villas and flexible stay formats. Guests seeking quick, high-quality getaways will increasingly look for trusted accommodation options that offer comfort, privacy and curated experiences. Budget 2026 strengthens the ecosystem needed to support this shift, enabling sustained demand growth, wider geographic expansion and a more resilient, experience-led hospitality market.”    
     
  • Bhavik Sheth, Chief Operating Officer (COO), Evoke Experiences         
    “From a Gujarat lens, the post-Budget focus on upgrading Indus Valley Civilisation sites like Dholavira and Lothal is a powerful step towards positioning the state as a global heritage destination. These sites are not just archaeological landmarks; they are living narratives of India’s 5,000-year-old urban intelligence, sustainability practices and civic planning. Structured investment in interpretation centres, visitor infrastructure and storytelling will allow global travellers to engage more meaningfully with this legacy, rather than experiencing it as static ruins.    

    For experiential hospitality brands like us, this opens up opportunities to curate immersive journeys that blend history, landscape and local communities, from guided archaeological walks and cultural immersions to responsible stays that benefit nearby regions. Gujarat has long had strong cultural assets; this announcement elevates its historical depth on the global stage. If executed thoughtfully, the upgrade of Dholavira and Lothal can redefine heritage tourism in India, moving it towards education-led, experience-driven and globally benchmarked offerings.”    
     
  • Manoj Bhat, Managing Director & CEO of Mahindra Holidays & Resorts India Ltd      
    “The Union Budget 2026 reinforces the government’s intent to use tourism and hospitality as levers for balanced economic growth rather than treating them as standalone consumption sectors. The focus on destination development beyond metros, improved physical connectivity, and a sharper push on spiritual and heritage circuits reflects a recognition that tourism growth must be geographically distributed and locally rooted.    

    Equally important is the emphasis on skilling and workforce development. As the sector expands into tier two and three markets, the availability of trained talent will determine not just service quality but the sustainability of growth itself. By linking infrastructure creation with human capital development, the Budget moves the conversation from short-term demand creation to building a resilient, employment-generating tourism ecosystem.”       

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