Contribution of Travel and Tourism Industry in boosting Indian Economy

International Journal of Research and Innovation in Social Science (IJRISS) | Volume IV, Issue VI, June 2020 | ISSN 2454–6186

Contribution of Travel and Tourism Industry in boosting Indian Economy

Dr. S. Dilli¹, Dr. S. Kishore^2
1Associate Professor, Department of MBA, Chadhalawada Ramanamma Engineering College (Autonomous), Tirupati-517506, Chittoor Dist., Andhra Pradesh, India
²Associate Professor, Department of MBA, Annamacharya Institute of Technology and Sciences (Autonomous), Tirupati-517520, Chittoor Dist., Andhra Pradesh. India

Abstract: – Travel and Tourism Industry has flourished in the past few years, significantly contributing to the nation’s Gross Domestic Product, foreign exchange earnings and employment. Many developing countries have seen tourism as the major source of foreign exchange earnings. Tourism industry in India is growing and it has vast potential for generating employment and earning large amount of foreign exchange besides giving a boost to the country’s overall economic and social improvement. In terms of the countries’ share of contribution to global Travel & Tourism growth last year, two countries dominate; one quarter 25% came from China while the USA provided a further 12%. Other major contributors include India with a 6% share, while Turkey, France and Japan each contributed 4% to the sector’s growth in 2018. 2019 was another year of strong growth for the global Travel & Tourism sector reinforcing its role as a driver of economic growth and job creation Moreover, tourism is a multi-dimensional activity, basically a service industry. It would be required that all ways of the central and state government, public-private partnership and voluntary organisations become active partners in endeavour to attain the sustainable growth in tourism in India would become a world player in tourism industry. The present paper elaborates about the contribution of travel and tourism industry in the development of Indian economy.

Index Words: Travel & Tourism, Foreign Exchange Earnings, GDP, COVID-19.

I. INTRODUCTION

Travel and Tourism industry constitute an integral part of Growing Indian economy. India boasts of an immensely rich cultural heritage including numerous languages, traditions and people. The country holds its uniqueness in its diversity and hence has adapted itself to international changes with poise and comfort. The recognition of tourism as an instrument of economic and social development has been rather late in most of the developing countries especially in India (Shiji.O, 2016). Tourism is growth oriented industry with its impact on the employment and foreign exchange potential of the country. Among the various service industries, tourism in India is the largest and fastest growing in the country. It has a vast impact on creation of jobs and national economy that plays a major role in other aspects of the country’s growth and development. It is widely accepted that tourism is among the world’s fastest growing and largest industries on the basis of its economic benefits.

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