Domestic Tourism To Grow 40 Per Cent, Estimate Observers Amid Escalating West Asia Conflict
Tourism experts anticipate a robust growth of 30-40 per cent in domestic tourism this year, as the trend shows, reports Chanchal Murkherjee
Published : March 31, 2026 at 4:59 PM IST
New Delhi: Ongoing conflict in West Asia has significantly influenced travel preferences; many tourists' travel plans are taking a decisive turn toward closer destinations. What was once a growing enthusiasm for international holidays is now giving way to a renewed interest in domestic destinations because of safety concerns, rising costs, flight disruptions, and general uncertainty have made international travel less appealing.
Instead, people are rediscovering the charm and diversity within their own country. From hill stations to unexplored rural landscapes and vibrant cultural hubs, domestic destinations are witnessing a surge in attention.
Tourism industry experts anticipate domestic tourism is expected to witness a robust growth of 30 to 40 per cent this year. A key factor driving this trend is the rising cost of international travel.
Airfares have surged by 50 to 60 per cent due to an increase in oil prices in the international market and flights taking detours to reach destinations, while other travel expenses have increased by around 10 per cent, largely due to the strengthening of the dollar. As a result, travelling abroad has become significantly more expensive, prompting many tourists to look for alternatives closer to home.
Highlighting the shifting travel trends, tourism expert Subhash Goyel told ETV Bharat that travellers are increasingly narrowing their choices. “Tourists now prefer two options: either travelling to Eastern countries or exploring domestic destinations, due to the ongoing West Asia conflict,” he said. He added that this evolving pattern is expected to positively impact the domestic tourism sector, giving it a significant boost.
Explaining how travellers are adjusting to rising costs, industry observers note that while the desire to travel abroad remains strong, budgets are forcing compromises. "If tourists plan to travel overseas, they still prefer to go ahead with their trips, but often shorten the duration (for example, instead of 10 days they prefer 6-8 days only) to manage expenses," Goyal said.
At the same time, many are choosing destinations closer to home. Countries such as Myanmar, Nepal, Bhutan, Thailand, Malaysia, and Sri Lanka are emerging as preferred options due to their proximity and relatively lower travel costs.
Echoing similar sentiments, Rajan Sehgal, chairman (Public Relations Council) Travel Agents Association, told ETV Bharat that while domestic tourism is indeed witnessing a boost, certain challenges remain. “Domestic tourism is indeed growing with these new trends, but a major concern still needs to be addressed for it to grow further. Airfares for domestic flights have also increased following the removal of fare caps. If the airfare gets lower, it will help the domestic tourism sector more,” he said.
Adding to this, Sehgal pointed to a sharp shift in travel patterns. “International tourism has declined by around 50 to 60 per cent. On the other hand, domestic tourism has already seen a surge of about 35 per cent, and this is expected to rise further in the coming days,” he said.
With the onset of the summer season, he noted that travel activity is set only to pick up pace. “People have started making plans and opting for bookings, which indicates strong momentum for domestic travel in the near future. People are willing to visit hill areas and states like Jammu & Kashmir, Kerala, Sikkim, and the Northeast states,” he added.
Notably, amid declining foreign tourist arrivals due to the ongoing West Asia conflict, India’s tourism sector has already begun taking proactive steps to revive and strengthen inbound travel. The focus is now on positioning India as a preferred global destination, particularly across key markets. To achieve this, industry stakeholders are working closely with leading travel agents and tour operators in Europe, building strategic partnerships that highlight India’s rich and diverse tourism offerings from cultural heritage and wellness tourism to adventure and luxury experiences.
Industry experts point out that the ongoing situation has significantly impacted the movement of foreign tourists. The overall number of foreign tourists has declined. This shift highlights how geopolitical tensions are reshaping global travel patterns and influencing destination choices.
Highlighting current travel preferences, Rajnish Kaistha, tourism expert and Senior Vice President of the Indian Association of Tour Operators, told ETV Bharat about a clear shift in priorities. "Travelers are first showing interest in domestic destinations, followed by countries in Southeast Asia. Bookings are being made for both domestic and Southeast Asian locations," he said.
Kaistha further explained that rising currency values have played a significant role in increasing travel costs. “With the strengthening of the dollar and the euro, tour packages have automatically become more expensive. For instance, a package that earlier cost around Rs 80,000 per person now exceeds Rs 1 lakh due to exchange rate fluctuations,” he noted.
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