Hospitality Leaders Applaud Union Budget 2025's Boost for Tourism & Innovation

Hospitality Leaders Applaud Union Budget 2025's Boost for Tourism & Innovation

By Manu Vardhan Kannan

Published on February 5, 2025

The Union Budget 2025 has set the stage for significant advancements in India's hospitality and tourism sectors. Industry leaders have expressed optimism about the budget’s strategic focus on tourism infrastructure, enhanced connectivity, and skill development initiatives that are expected to elevate India's global standing as a prime travel destination.

Strengthening Tourism & Hospitality Infrastructure

Mr. Sarbendra Sarkar, Founder & MD of Cygnett Hotels and Resorts, welcomed the government’s emphasis on tourism, particularly the development of 50 key destinations under challenge mode. He highlighted how initiatives such as streamlined e-visas and visa-free access for select tourist groups will boost international footfall. He also appreciated the inclusion of new hotels in these destinations in the Infrastructure Harmonized List (HML), allowing hospitality investors to access infrastructure lending under more favorable terms.

“The move to include new hotels in the HML will provide easier access to larger funds through External Commercial Borrowings (ECBs), enabling greater expansion and modernization in the hospitality sector,” said Mr. Sarkar.

image

Additionally, he noted the positive impact of the government's modified UDAN scheme, which aims to strengthen connectivity to 120 new destinations, particularly focusing on the northeastern region’s helipad development. The enhanced connectivity will unlock untapped tourism potential, further promoting India’s cultural and historical sites.

Hospitality Industry’s Growth Prospects

Echoing similar sentiments, Mr. K Syama Raju, President of the Federation of Hotel & Restaurant Associations of India (FHRAI), emphasized the budget’s role in developing top tourism destinations in partnership with state governments. He lauded the decision to grant Infrastructure Status to hotels in these areas, which will facilitate long-term, cost-effective financing and improve hospitality standards.

“The inclusion of hotels in the harmonious master list aligns with our long-standing request for Infrastructure Status, allowing access to lower-cost funding for hospitality expansion,” said Mr. Raju.

image

Another major highlight was the focus on medical and wellness tourism through the 'Heal-in-India' initiative. With India already being a global leader in affordable, high-quality medical treatments, this initiative is set to attract more international patients, strengthening the country’s healthcare tourism sector.

The government’s focus on religious tourism was also well received. Enhancing infrastructure at key pilgrimage sites is expected to create more organized and accessible travel experiences for both domestic and international visitors. Additionally, the visa fee waivers and simplified e-visa options will further support inbound tourism growth.

Support for Entrepreneurship & Innovation

Innovation and entrepreneurship were also key focus areas in the budget, receiving praise from Mr. Sanandan Sudhir, Founder and CEO of On2Cook. He highlighted the government’s Rs 20,000 crore allocation to promote innovation and the introduction of a fund of funds for next-generation entrepreneurs as pivotal measures for fostering global capabilities in India.

“We appreciate the introduction of the National Framework for promoting innovation in tier 2 cities and the proposal for Centres of Excellence in AI for Education. These initiatives, coupled with the Bharat Trade Net platform to enhance international trade, will play a crucial role in positioning India as a global innovation hub,” said Mr. Sudhir.

image

However, he also urged the government to reconsider the current tax regime and introduce lower GST rates for sustainable, globally patented products. He further suggested subsidizing international certification costs to ease export market entry for startups.

The Road Ahead

Overall, the Union Budget 2025 has been met with enthusiasm from the hospitality and innovation sectors. With targeted infrastructure investments, enhanced connectivity, and policy support for tourism and entrepreneurship, industry leaders believe these measures will position India as a premier global destination for travelers, businesses, and investors alike.


IHCL Expands Ginger Brand with New Hotel in Gadchiroli, Maharashtra

IHCL Expands Ginger Brand with New Hotel in Gadchiroli, Maharashtra

By Manu Vardhan Kannan

Published on June 29, 2026

Indian Hotels Company (IHCL), India's largest hospitality company, has announced the opening of Ginger Gadchiroli, Mul Road, marking the brand's entry into the emerging district of Gadchiroli in Maharashtra. The launch further strengthens Ginger's footprint in the state, taking its operational portfolio to 15 hotels across Maharashtra.

Commenting on the opening, Ms. Deepika Rao, Executive Vice President – New Businesses and Hotel Openings, IHCL, said, "Gadchiroli in Maharashtra is witnessing steady development driven by infrastructure growth. The opening of Ginger Gadchiroli, Mul Road, aligns with our strategy to expand in emerging markets, taking the brand's presence to fifteen operational hotels in the state."

Strategically located with easy access to key commercial areas, government offices and major transit points, Ginger Gadchiroli, Mul Road offers 34 contemporary guest rooms equipped with modern amenities. The hotel also features vibrant community spaces designed to cater to both business and leisure travellers.

Guests can enjoy a range of Indian and international dishes at Qmin, Ginger's signature all-day dining restaurant, or unwind at the hotel's bar. The property also offers a versatile event space suitable for business meetings, social gatherings and celebrations.

With improving connectivity and ongoing infrastructure development, Gadchiroli is steadily emerging as an important destination in eastern Maharashtra. The opening of Ginger Gadchiroli reflects IHCL's continued focus on expanding its presence in high-growth and emerging markets across India.


Adani Airports Unveils ₹20,000 Crore Airport City Development Across Six Airports

Adani Airports Unveils ₹20,000 Crore Airport City Development Across Six Airports

By Manu Vardhan Kannan

Published on June 28, 2026

Adani Airport City Limited (AACL), a wholly owned subsidiary of Adani Airport Holdings Limited (AAHL), has announced an ambitious integrated airport city programme across its airport network. The first phase will see an investment of more than ₹20,000 crore to develop hospitality, retail, entertainment, convention and commercial infrastructure across six airports in five states.

The development spans over 655 acres across Mumbai, Navi Mumbai, Ahmedabad, Lucknow, Jaipur and Guwahati. Of this, nearly 440 acres are located in Mumbai and Navi Mumbai, where close to 70 per cent of the planned investment will be concentrated. Approximately 22 million sq. ft. of mixed-use development is planned during the first phase.

Inspired by globally recognised airport districts such as Singapore's Changi, Dubai International, Amsterdam's Schiphol and Seoul's Incheon, the Airport City programme aims to transform airports into integrated urban destinations that drive tourism, business, investment and employment while enhancing passenger experiences.

The airport cities are being designed as walkable districts where hotels, offices, retail outlets, restaurants, entertainment venues and convention facilities are seamlessly connected with airport terminals, metro networks and city transport systems. The integrated approach is intended to create vibrant commercial ecosystems that extend beyond traditional airport infrastructure.

Commenting on the development, Mr. Jeet Adani, Director, AAHL, said, "Around the world, the most successful airport districts have become centres of commerce, tourism and urban growth. As India's aviation market expands, airports have an opportunity to create value far beyond aviation. We are creating a network of integrated urban destinations where airports become catalysts for investment, employment, better passenger experiences and the long-term growth of the cities they serve."

He further added, "These developments are being designed with leading global design and engineering partners and informed by emerging trends in hospitality, retail, workplaces and entertainment. Our objective is to create vibrant districts that combine connectivity with experience, generating economic activity, employment and long-term value for the communities around them."

As part of the initiative, AAHL has signed hotel management agreements with IHG Hotels & Resorts for five luxury and premium hotels, including the introduction of the Kimpton brand in India. The company is also working with leading domestic and international partners across hospitality, food and beverage, retail and entertainment to strengthen the Airport City ecosystem.

Sustainability remains a key focus of the programme. All Airport City developments have received LEED Gold pre-certification from the U.S. Green Building Council (USGBC), reflecting their emphasis on sustainable design, energy efficiency, walkability and high-quality public spaces.

During the launch, AACL also recognised its development partners, including Kohn Pedersen Fox (KPF), Benoy, Znera Space, Larsen & Toubro (L&T), Tata Projects, PSP Projects, CBRE, JLL and Cushman & Wakefield, who will contribute to the planning, design and execution of the integrated airport cities.


Tamil Nadu CM Vijay Leads Anti Drug Marathon, Reinforcing Wellness and Community Awareness

Tamil Nadu CM Vijay Leads Anti Drug Marathon, Reinforcing Wellness and Community Awareness

By Hariharan U

Published on June 27, 2026

Tamil Nadu Chief Minister C. Joseph Vijay flagged off the "Start Run, Stop Drugs" anti drug awareness marathon at Chennai's Marina Beach on Friday, marking the International Day Against Drug Abuse and Illicit Trafficking. In a first for a sitting Chief Minister of the State, Vijay ran the entire 6 km route alongside participants, reinforcing the government's commitment to promoting a drug free Tamil Nadu through active public engagement.

The marathon was organised by the Sports Development Authority of Tamil Nadu (SDAT) and witnessed the participation of Ministers, Members of Parliament, Members of the Legislative Assembly, senior IAS and IPS officers, government officials, sportspersons, students, youth, NCC cadets, volunteers and thousands of members of the public.

Before flagging off the marathon, the Chief Minister administered an anti drug pledge, urging participants to stay away from narcotics, create awareness among family and friends about the harmful effects of drug abuse and support those working towards recovery. He also signed the campaign commitment board with the message, "Sports Edu, Drugs Vidu," encouraging young people to embrace sports as a positive way of life.

The awareness initiative formed part of a statewide campaign, with similar anti drug runs and mini marathons organised across districts in Tamil Nadu. The event highlighted the government's focus on youth empowerment, healthy living and collective efforts to eliminate substance abuse from society.

As destinations increasingly promote wellness tourism and responsible travel, initiatives that encourage healthy living and community participation align closely with the hospitality industry's vision of creating safer, healthier, and more welcoming environments for guests and local communities. The anti drug awareness marathon led by Tamil Nadu Chief Minister Vijay reflects the growing emphasis on public wellness, with sports and fitness serving as powerful tools to inspire positive social change.

Stay up-to-date with the latest Hospitality news and trends in the Hospitality industry!

Subscribe to Hospitality news e-magazine for free and never miss an issue.

By clicking subscribe for free you agree to the Terms & Conditions and acknowledge our Privacy Policy.

Advertise With Us

We have various options to advertise with us including Events, Advertorials, Banners, Mailers, etc.