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By Manu Vardhan Kannan
Published on February 3, 2026
As Union Budget 2026 introduces a range of initiatives aimed at strengthening India’s tourism and hospitality ecosystem, industry leaders have shared positive reactions, highlighting the Budget’s focus on infrastructure, connectivity, skilling and destination-led growth.
Dinesh Yadav, Founder and MD of Fine Acers, described Budget 2026 as a turning point for the tourism and hospitality industry. He said,
"Budget 2026 is the most decisive signal we've seen in years that tourism is no longer a soft sector, it is now a core economic growth engine, it is now a core economic growth engine. With tourism already contributing close to 7–8% of India's GDP and supporting millions of direct and indirect jobs, this Budget finally gives the sector the long-awaited structural push it deserves. The hotel business will benefit from the establishment of seven high-speed train routes which the government proposed. The improved transportation links between major cities and developing areas will boost weekend tourism and multiple city travel and continuous need for vacation resorts and unique accommodation experiences.
The program to educate 10000 tourist guides while establishing five medical tourism centers will improve service standards and attract high-value international travelers to the region. Medical tourism alone is projected to grow into a USD 50 billion market in the coming years.
Combined with investments in national waterways and coastal connectivity, Budget 2026 firmly positions tourism as a catalyst for jobs, regional development and long-term hospitality investment."
Ms. Amrita Gupta, Director, Manglam Group and CEO, Manglam Spa and Resorts, also welcomed the Budget, noting its positive direction for destination development and sustainable tourism. She said,
"Budget 2026 sends a clear and positive signal for tourism and hospitality. Continued emphasis on infrastructure, connectivity and destination development will strengthen India's position as a global travel hub. The focus on developing 15 archaeological and cultural sites, promoting eco-tourism, and expanding adventure and nature-led experiences reflects a well-rounded approach to destination building. Equally important is the push to improve regional connectivity and tourism circuits, which will unlock new growth opportunities across leisure, wellness and experiential travel. For Manglam, this aligns closely with our hospitality vision of creating thoughtfully designed destinations that celebrate nature, culture and sustainable tourism, particularly in markets like Rajasthan."
Industry leaders believe that the combined focus on transportation, skilling, medical tourism, eco-tourism and cultural destinations under Budget 2026 will support sustained growth, generate employment and strengthen India’s global tourism positioning.
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