Union Finance Minister Nirmala Sitharaman announced a comprehensive plan to develop 50 tourist destinations across India in collaboration with state governments, aiming to boost tourism, generate employment, and enhance infrastructure. During her Union Budget 2025-26 speech, Sitharaman highlighted tourism as a key driver for employment-led growth. She stated that states would provide land for essential infrastructure, while the central government would focus on improving connectivity, offering performance-linked incentives, and ensuring better tourist amenities, cleanliness, and marketing. Streamlined e-visa facilities and visa fee waivers for certain tourist groups will also be introduced to attract international visitors. Additionally, loans will be extended to homestays and hotels to support small-scale tourism enterprises.
Sitharaman also announced the launch of the “Heal in India” initiative, a private sector collaboration aimed at promoting medical tourism by easing visa norms for international patients. This initiative seeks to capitalise on India’s reputation for affordable and high-quality healthcare services. Furthermore, the budget includes provisions to develop Buddhist heritage sites, improving their connectivity and facilities to strengthen India’s position as a hub for spiritual tourism.
To support rural and cultural tourism, the government will extend Mudra loans to homestays, enabling small hospitality businesses to access credit and expand their services. This move is expected to create employment opportunities, particularly in smaller towns and villages. In addition, the budget allocates financial support for the Western Kosi Canal project in Bihar’s Mithilanchal region, which will benefit 50,000 hectares of land by improving irrigation facilities and boosting agricultural productivity.
