05-10-2016, 03:38 PM
India has experienced steady, if not spectacular, growth. Its GDP nearly doubled from 2006 to 2014 and grew 7.4% in 2014-2015 alone. The hotels, transport and communications subsectors outpaced that at 8.4%, according to a 2015 HVS report. It’s useful to take the long-term view on government-implemented improvements, according to HVS’ Asia Pacific Chairman Manav Thadani. “Nothing has happened on the tourism front, but the government is focusing on improving the infrastructure, getting roads up and running, fixing city infrastructure and making it easier for people to invest and do business.” That can only help tourism, along with an “e-visa” initiative that issues visas within 48 hours and eliminates the need to visit an embassy, says Thadani, who founded SAMHI , an Indian hotel investment and development firm. According to HVS, Indian hotel rooms totaled 101,305 in 2014-2015, up from 95,414 for 2013-2014. One factor driving demand is an increase in domestic travel spending, which generated more than three-quarters of travel and tourism GDP in 2014. Leisure hotels are mushrooming, and the focus is on supply, particularly to the middle market, which can utilize modernized airports and airline connectivity.