Year-on-Year Growth of India’s Domestic Tourism: A Rising Force
Tourism in India has always been an integral part of the country’s economy and culture. While foreign tourist arrivals often capture headlines, the true strength of India’s tourism industry lies in its domestic market. Millions of Indians travel across states each year for spiritual journeys, leisure, business, and cultural exploration. In recent years, especially after the COVID-19 pandemic, the sector has witnessed remarkable year-on-year (YoY) growth, making India one of the largest domestic tourism markets in the world.
The Scale of Domestic Tourism
India recorded nearly 1.8 billion domestic tourist visits (DTVs) in 2023, a staggering number compared to just around 10 million foreign tourist arrivals in the same year. The domestic sector has not only cushioned the blow of declining international travel during the pandemic but has also emerged as the key growth driver of the Indian travel economy.
This surge is backed by several factors: a growing middle class, improved road and air connectivity, cheaper digital booking platforms, and a cultural trend of shorter but more frequent trips. Unlike the older model of annual long vacations, Indians today increasingly prefer weekend getaways, spiritual journeys, and family trips spread across the year.
Pandemic and Recovery: A Year-on-Year Perspective
To understand the recent surge, it is important to look at the pandemic’s impact and the recovery that followed:
- 2020 – The Collapse
The outbreak of COVID-19 brought tourism to a near standstill. Domestic visits fell by nearly 75% as lockdowns, fear of infection, and restrictions on inter-state movement paralyzed the sector. - 2021 – Gradual Reopening
With vaccination drives and phased reopening, domestic tourism slowly recovered. The YoY growth was extremely high, around +130%, but this was largely due to the low base of 2020. People initially preferred closer destinations, road trips, and outdoor spots. - 2022 – Strong Rebound
Confidence in travel returned, and religious tourism circuits, hill stations, and cultural hubs flourished. Domestic tourist visits jumped by +240% YoY compared to 2021, showing the pent-up demand for travel among Indians. - 2023 – Stabilisation and Expansion
The momentum continued, with ~1.8 billion visits recorded. Growth was more sustainable at +20% YoY compared to 2022. This was driven not only by religious travel but also by a surge in leisure holidays and heritage exploration. - 2024 – Ongoing Growth
Early estimates suggest that India’s domestic tourism is maintaining a 15–18% YoY growth rate, reflecting both a stabilised recovery and structural expansion.
Key Segments Driving YoY Growth
1. Religious and Spiritual Tourism
Religious travel has emerged as the strongest pillar of domestic tourism. With the inauguration of the Ram Mandir in Ayodhya in 2024, Uttar Pradesh has become a magnet for pilgrims. Similarly, the Kashi Vishwanath corridor in Varanasi, Kedarnath and Badrinath in Uttarakhand, Tirupati in Andhra Pradesh, and Shirdi in Maharashtra have witnessed massive footfalls. Estimates suggest ~30% YoY growth in religious travel, making it the fastest-growing segment.
2. Heritage and Cultural Tourism
India’s rich historical and architectural heritage continues to attract millions of domestic travelers. Rajasthan’s forts and palaces, Madhya Pradesh’s temples and wildlife reserves, and Gujarat’s cultural circuits like Somnath and Girnar have seen a 20% YoY growth. Awareness campaigns like Dekho Apna Desh have also encouraged Indians to explore their own country.
3. Hill Stations and Nature Travel
Hill stations remain evergreen destinations, particularly during summers. Himachal Pradesh, Uttarakhand, and Jammu & Kashmir witnessed nearly 18% YoY growth in 2023–24, driven by improved road connectivity and the increasing popularity of homestays and eco-resorts. Domestic tourists prefer short trips by road to escape city heat, and this trend continues to strengthen.
4. Beach and Coastal Tourism
Destinations such as Goa, Kerala, and the Andaman & Nicobar Islands remain popular for leisure seekers. With the rise of budget airlines, even middle-income families now travel more frequently to these destinations. The segment recorded a 12–15% YoY growth in 2023–24.
5. Eco and Rural Tourism
A relatively new but growing category is eco-tourism and rural tourism. Northeastern states, Sikkim, and village circuits across India have started to attract travelers looking for authentic cultural experiences. This segment saw 10% YoY growth in 2023, with strong potential ahead.
State-Wise Year-on-Year Growth (2022–2024)
To understand the real impact of domestic tourism, it helps to look at the performance of different states. Below is an indicative table showing domestic tourist visits and YoY growth:
State | 2022 Visits (millions) | 2023 Visits (millions) | 2024 est. Visits (millions) | YoY Growth 2022→23 | YoY Growth 2023→24 (est.) |
---|---|---|---|---|---|
Uttar Pradesh | 300 | 400 | 525 | +32% | +31% |
Tamil Nadu | 210 | 250 | 295 | +18% | +18% |
Andhra Pradesh | 175 | 200 | 230 | +15% | +15% |
Karnataka | 140 | 160 | 185 | +14% | +16% |
Maharashtra | 135 | 155 | 180 | +15% | +16% |
Gujarat | 100 | 115 | 135 | +15% | +17% |
Rajasthan | 90 | 110 | 125 | +22% | +14% |
Madhya Pradesh | 85 | 100 | 120 | +18% | +20% |
Himachal Pradesh | 60 | 72 | 85 | +20% | +18% |
Uttarakhand | 55 | 65 | 78 | +18% | +20% |
Kerala | 50 | 58 | 70 | +16% | +21% |
Jammu & Kashmir | 45 | 55 | 65 | +22% | +18% |
Goa | 20 | 23 | 27 | +15% | +17% |
Northeast (aggregate) | 25 | 28 | 33 | +12% | +18% |
(Figures are rounded and indicative, based on tourism department reports and growth projections.)
This table shows that Uttar Pradesh, Tamil Nadu, and Andhra Pradesh remain the leaders in sheer volume of domestic visits, while states like Rajasthan, Uttarakhand, Himachal, and Kerala are registering higher percentage growth rates.
Emerging Trends in Domestic Travel
- Weekend and Short-Haul Trips – Rising disposable incomes and improved highways encourage families to travel more frequently for 2–3 day holidays.
- Digital Transformation – Online booking platforms, mobile apps, and digital payments are simplifying the travel process, fueling demand.
- Budget Airlines and UDAN Scheme – Affordable regional flights have connected tier-2 and tier-3 cities, boosting mobility.
- Homestays and Experiential Travel – Travelers increasingly prefer authentic experiences over luxury resorts, supporting rural economies.
- Workation Culture – Remote work flexibility has encouraged long stays in hill stations and coastal towns.
Economic Impact of YoY Growth
The booming domestic tourism industry contributes significantly to India’s GDP. It supports millions of jobs in transport, hotels, restaurants, handicrafts, and local services. States like Uttar Pradesh, Uttarakhand, Himachal Pradesh, and Kerala have directly linked their economic growth strategies to tourism.
Every 1% rise in YoY domestic visits translates into higher demand for accommodation, local transport, eateries, and cultural products. This multiplier effect makes domestic tourism one of the most inclusive and sustainable growth engines of the Indian economy.
Challenges Ahead
Despite rapid growth, challenges remain:
- Overcrowding at religious and natural sites.
- Pressure on local infrastructure in peak seasons.
- Need for sustainable tourism policies to protect ecology.
- Ensuring safety and accessibility for women, elderly, and differently-abled travelers.
Addressing these will be crucial to maintaining consistent YoY growth without damaging cultural and natural resources.
Conclusion
India’s domestic tourism sector is on a powerful upward trajectory, recording double-digit YoY growth consistently since 2021. From religious pilgrimages and heritage exploration to leisure holidays and rural experiences, Indians are traveling more frequently and spending more on tourism than ever before.
With 15–20% YoY growth, domestic tourism is not only revitalizing the travel sector but also fueling regional economies, creating jobs, and strengthening India’s cultural pride. As infrastructure improves and awareness grows, India’s domestic tourism story will continue to shine as one of the strongest drivers of the nation’s economic and social transformation.
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