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29th November 2024 (9 Topics)

Development of Tourism Sites and Infrastructure

Context

The Centre has approved interest-free loans worth Rs 3,295 crore to States for the development of tourism sites and infrastructure. As part of this initiative, 40 new projects have been identified across 23 States.

About the Scheme:

  • This initiative, called Special Assistance to States for Capital Investment (SASCI), aims to support the comprehensive development of iconic tourist centres in India.
  • The scheme offers interest-free loans for a period of 50 years to the States, helping them enhance tourism infrastructure, promote tourism in lesser-known locations, and market these destinations globally.
  • The initiative is part of a broader strategy to enhance the tourism sector, promote lesser-known destinations, and boost local economies by improving infrastructure and facilities for tourists.
  • The objectives of the scheme include:
    • Development of Tourism Infrastructure: The funds will be used for the development of infrastructure such as roads, hotels, transport facilities, and other amenities to make these sites more attractive and accessible to tourists.
    • Promotion of Lesser-Known Destinations: The Tourism Ministry is encouraging States to develop new and lesser-known tourism destinations, like Bateshwar in Uttar Pradesh, Ponda in Goa, Gandikota in Andhra Pradesh, and Porbandar in Gujarat, in order to reduce the pressure on already overcrowded popular destinations.
    • Sustainable Growth and Employment: By funding these projects, the scheme aims to generate sustainable growth in local economies and create employment opportunities in tourism-related sectors.
    • Global Branding and Marketing: The scheme also envisions branding and marketing of these tourist centres at a global scale to attract international visitors, thereby boosting the tourism sector in India.
    • Collaboration with Hospitality Chains: The Tourism Ministry is collaborating with global hospitality chains to train Indian youth in the tourism sector. Upon completion of training, they will be absorbed by these hotel chains, improving employment prospects for young Indians in the hospitality industry.

Fact Box: India’s Tourism Sector

  • India has been ranked 39th among 119 countries in the latest TTDI 2024 report published by the World Economic Forum. 
  • In 2023, India recorded 9.24 million foreign tourist arrivals (FTAs), a growth of 43.5% compared to 6.44 million in 2022. FTAs contributed Foreign Exchange Earnings (FEEs) of Rs 2.3 lakh crores (Provisional estimates), a growth of around 65% in the same period compared to Rs. 1.39 lakh crores in 2022.
  • Over the last few years, India has built extensive tourism infrastructure worth approximately $1 billion (Rs. 7,000 Crores) to improve the tourist experience.
  • In 2022-23, 76.17 million direct and indirect jobs were created due to tourism in India, compared to 70.04 million direct and indirect jobs created in 2021-22.
  • Initiatives Implemented to Enhance Tourism Promotion
    • Swadesh Darshan
    • National Mission on Pilgrimage Rejuvenation and Spiritual Heritage Augmentation Drive (PRASHAD)
    • Assistance to Central Agencies for Tourism Infrastructure Development Scheme
    • Dekho Apna Desh initiative
    • Vibrant Village Programme
    • SWADESH 2.0
    • Regional Connectivity Scheme – Udaan
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