Urgent Reforms Needed as India’s Inbound Tourism Stagnates Amidst Global RecoveryETTravelWorld

India’s inbound tourism sector continues to show worrying signs of stagnation, with the Indian Association of Tour Operators (IATO) warning that the country risks losing ground to regional competitors. Countries such as Thailand, Vietnam, and the UAE have seen their international tourist arrivals surpass pre-COVID levels, while India’s foreign tourist arrivals (FTAs) remain nearly 10 per cent below 2019 figures.

IATO highlights that while global international travel is up by 5 per cent from pre-pandemic levels, India’s inbound market has not kept pace. In contrast, outbound travel from India is growing at a compounded rate of over 12 per cent , indicating a widening imbalance in the tourism equation.

A key issue, according to IATO, is India’s complex visa and entry processes. Although the e-visa system has streamlined travel for some segments, it remains insufficient for larger groups and long-haul visitors. Combined with concerns over safety perceptions, particularly after isolated incidents such as the recent Jammu terror attack, the appeal of India as a destination remains fragile despite its diverse offerings.

“India’s inbound tourism is a sleeping giant,” said Ravi Gosain, President of IATO. “We have the product, the history, the culture, and diversity, but we just do not have unity and a global banner. The time to act is not tomorrow; it is now.”

IATO is advocating for a series of measures including reinstating the Marketing Development Assistance scheme to support smaller tour operators, setting up a centralised India Tourism Board for cohesive planning, and revamping the country’s global brand identity through a nationwide relaunch of ‘Incredible India’.

The organisation believes that such steps, paired with infrastructure upgrades and sustained international outreach, are essential to reposition India as a leading travel destination. Without urgent intervention, it warns, the country risks missing a crucial window to revitalise its share in global tourism.