Budget 2025: Government to boost development of 50 key tourist destinations

In her Union Budget 2025-26 speech, Union Finance Minister Nirmala Sitharaman presented an ambitious plan to enhance India’s tourism sector by focusing on the development of the country’s top 50 tourist destinations.

The government, in collaboration with state authorities, will develop these 50 destinations through a challenge mode. As part of the initiative, states will be responsible for providing the land necessary to build essential infrastructure for tourism development. Sitharaman highlighted this initiative while addressing the Lok Sabha.

To further support tourism growth, the Finance Minister proposed extending Mudra loans to homestays, making travel experiences more affordable for tourists and providing a boost to local economies.

She emphasized the vast economic potential of India's diverse cultural and heritage landmarks, highlighting their contribution to the nation's tourism sector. In addition, Sitharaman announced that hotels situated in these tourist hotspots would be included in the Infrastructure Harmonized Master List (HML) to help streamline their development.

The government is also focusing on destinations with spiritual and religious significance, particularly those connected to the life and teachings of Lord Buddha.

Sitharaman further outlined plans to boost medical tourism, with the private sector expected to play a key role in promoting India as a leading destination for affordable, high-quality healthcare services.

The government aims to further strengthen this sector, positioning it as a major contributor to India’s tourism economy.