India is positioning tourism at the heart of its service sector growth, making significant contributions to GDP and employment. With the rapid development of Tier 2 and Tier 3 cities, along with emerging trends like religious tourism, job opportunities are multiplying, creating a pressing need for targeted workforce training and upskilling.
As one of the world’s top travel destinations, India has placed tourism at the forefront of its service sector expansion. According to the World Travel and Tourism Council (WTTC), India’s Travel & Tourism GDP is expected to grow at an average annual rate of 7.1% over the next decade. Currently, the sector contributes about 8% to India’s total employment, and this is set to rise, with sectoral spending projected to increase by 1.2 times by 2034. This growth highlights the urgent need for a skilled workforce to meet future demands.
Growth in tier 2 and 3 cities While major metropolitan hubs have traditionally been the backbone of India’s tourism industry, Tier 2 and Tier 3 cities are now emerging as vital contributors. Travelers are increasingly drawn to lesser-known destinations, fueled by the rise of staycations post-pandemic, enhanced connectivity, and a growing interest in religious tourism. This rapid growth in smaller cities is expected to create 24 million job opportunities in these markets by 2033, with a workforce comprising 75% male and 25% female talent.
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