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Last year, Indians’ spending on overseas travel hit a record high. This year’s trends are in line with 2023, demonstrating continued interest among Indians in traveling abroad.
Bulbul Dhawan
Indians spent more than $2 billion on international travel in August, the highest amount in the past 12 months, according to data from India’s central bank. Travel accounted for the largest share of total overseas spending that month, at nearly 63% of $3.2 billion.
Overseas travel spending in the 2023-24 fiscal year hit a record high of $17 billion. This was a 25% increase compared to 2022-23 and accounted for 54% of total international spending. By comparison, Indians spent around $7 billion on international travel in the 2019-20 fiscal year, representing 37% of total overseas spending.
While the initial increase was due to post-pandemic revenge travel, this year’s sustained spending points to a long-term trend. Indians are willing to spend more on travel and are becoming a major source market for outbound tourism, according to a report by consulting firm McKinsey & Company.
Travel services company Collinson International revealed last month that Indian millennials spend an average of $6,031 on travel annually, more than any other generation.
Indian travelers are also spending more on unique experiences. In another report, Collinson shared that more than 50% of sports travelers in India spend more than $500 per person on a trip to attend a sporting event, which is more than the average of the middle class. That’s a lot for a country where annual incomes range from $6,000 to $36,000.
Three new airports to open in India
Prime Minister Narendra Modi has opened three new airports in India – Rewa in Madhya Pradesh, Ambikapur in Chhattisgarh and Saharanpur in Uttar Pradesh – under the Regional Connectivity Plan. These airports are expected to begin operations under this plan soon.
Regional Connectivity Scheme (RCS-UDAN) is an initiative aimed at upgrading and developing India’s aviation infrastructure to improve connectivity to smaller cities. The plan also aims to increase regular air services to these small areas through government financial support.
The focus on improving connectivity has led to the emergence of new airlines such as Akasa Air and Fly91. Two more airlines, Al Hind Air and Air Kerala, are also in the process of receiving permission to start operations.
These three airports are expected to connect people from nearby areas to the country’s major aviation hubs. Currently, people in some parts of the country have to travel several hours to get to the nearest airport.
Vietnam visa applications increase by 146%
Visa processing platform Atlys recorded a 146% increase in the number of visa applications for Vietnam compared to 2023. The biggest jump in the number of applications was recorded in Bengaluru, Mumbai and Delhi.
According to the platform, solo travelers accounted for 66% of visa applications. Meanwhile, group travel is also on the rise, especially among Gen Z and Millennials. Atlys attributes this surge in demand to strong connectivity, a variety of experiences, and budget and luxury travel options.
Sterling opens second resort in Penchi
Earlier this year, Starling expanded its portfolio to 50 resorts. The company’s CEO and MD Vikram Lalvani said in August that the company plans to add 20 resorts with 1,000 keys over the next 12 to 18 months.
Sterling Holiday Resorts has opened its second resort in Pench. The resort, called Sterling Orient Woods, is located on the Maharashtra side of the Pench Wildlife Sanctuary. The resort has villa-style rooms and large luxury tents.
Sterling orient wood, pen
Stone Wood opens new hotel in Rishikesh
Stone Wood Hotels and Resorts has opened a new hotel in Rishikesh, Uttarakhand. The 37 hotels mark the company’s entry into the state.
The Goa-based hotel chain started operations in 2017 and operates boutique properties. It currently has a portfolio of 16 properties across Maharashtra, Himachal Pradesh, Goa, Karnataka, Rajasthan and Uttarakhand.
Lighthouse tourism has increased by 400% in 10 years
Minister of Ports, Shipping and Waterways Sarbananda Sonowal said that the number of tourists to lighthouses in India has increased by 400% in the past 10 years. India recorded 400,000 visitors to lighthouses in 2014, and last year that number rose to 1.6 million.
The minister added that more than 900,000 tourists visited the lighthouse in the first half of this year. India has invested 600 million rupees ($7.14 million) to develop 75 lighthouses across India. The development includes the addition of facilities such as a museum, amphitheater and children’s park.
