Union Budget 2025: Visa fee waiver to MUDRA loans for homestay biz

Visa fee waivers and e-visa options will be introduced for certain tourist groups, Sitharaman said in Budget speech 2025

Union Budget 2025-2026: Finance Minister Nirmala Sitharaman announced on Saturday that 50 of India’s top tourist destinations will be developed in partnership with state governments through a challenge-based model. Presenting the Union Budget 2025-2026, she said the initiative is aimed at boosting tourism and employment.  

 

Visa fee waivers and e-visa options will be introduced for certain tourist groups, she said, focusing on India's potential to attract more visitors.  

 

Budget 2025: Tourism push to attract investment  

< MUDRA loans for homestay businesses  

< Measures to ease travel to key tourist destinations  

< E-visas for select tourist groups  

< Development of 50 top tourist destinations in collaboration with states for employment-led growth  

 

 

India’s tourism industry is currently valued at $256 billion, 10% higher than in 2019. According to the World Travel & Tourism Council, the sector employs 45 million people. Domestic travel dominates the market, with visitor spending rising by 15% since 2019.  

 

Tourism contributes 5% to India’s gross domestic product (GDP), according to government estimates for 2024. The National Account Statistics report for 2024 shows that the sector directly contributes 2.6% to GDP, with an indirect contribution of 2.4%.  

 

In the first half of 2024, 46% of foreign tourists visited India for leisure and recreation. The Indian diaspora made up over 25% of Foreign Tourist Arrivals (FTAs) between January and June.  

 

India ranks 39th in the latest Travel and Tourism Development Index by the World Economic Forum, which assesses factors that support the sector. In terms of foreign tourist arrivals, India is ranked 24th in the UNWTO Barometer.