Budget 2024: Sitharaman bats for developing iconic tourist destinations

Up next: Bridging the gap for better access to islands

Finance Minister Nirmala Sitharaman, in her interim Budget speech on Thursday, announced that the Centre will take up development projects to improve facilities on the country’s islands, including Lakshadweep.

The FM announced that projects for port connectivity, tourism infrastructure, and amenities will be taken up on the islands.

Lakshadweep islands had gained attention after Prime Minister Narendra Modi’s visit last month.

This development beef up on the islands will also help in generating employment, the finance minister added.

Long-term interest-free loans will be provided to states for financing the development of iconic tourist centres, and for branding and marketing them at a global scale, she said.

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Going forward, a framework for rating the tourist centres based on the quality of facilities and services provided will also be established.

“The success of organising the G20 meet in 60 places presented the diversity of India to a global audience. Our economic strength has made the country an attractive destination for business and conference tourism. Our middle class also aspires to travel and explore,” Sitharaman said in her speech.
 

“Tourism, including spiritual tourism, has tremendous opportunities for local entrepreneurship,” she added.

The recent consecration ceremony at the Ram temple in Ayodhya drew attention to the potential that spiritual tourism holds. A recent Jefferies report had stated that the Ram temple has the potential of attracting 50 million tourists annually.

To aid this growth in the travel and tourism sector, the ministry of tourism has been allocated Rs 2,449.62 crore in Budget 2024.

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“The commitment to bolster domestic tourism through initiatives spanning rail and air travel, coupled with the ongoing emphasis on tourism-led destinations, particularly in the realm of island tourism and spiritual tourism, reflects a strategic vision for the long-term growth of the sector,” said Rajesh Magow, chief executive officer (CEO) at Make My Trip.

“The allocation of interest-free loans to state governments for the creation of iconic tourist destinations is a noteworthy step. The expansion of airports and the PM Gati Shakti programme are pivotal in enhancing connectivity to previously unexplored regional gems,” he added.