Tourism sector key to job creation and economic growth, says Amitabh Kant

India is at a crucial turning point in its pursuit of economic growth, and according to Amitabh Kant, G20 Sherpa of India, the tourism industry holds immense potential for job creation and economic development. "India needs jobs, and there is no better sector than tourism to create them," Amitabh Kant said at the 18th Annual CII Tourism Summit in an interview with CNBC-TV18. Kant emphasized that tourism is one of the most effective sectors for generating jobs in India.

With its ability to transform livelihoods, the tourism and hospitality industry is in a prime position to become India’s job engine. Currently, the sector contributes 8 percent of the country’s total employment and is expected to create 61 lakh new jobs by 2034.

Kant also highlighted the significant multiplier effect that tourism can have on job creation across various sectors. He urged industry leaders to collaborate directly with state governments to showcase the power of tourism in driving employment. "The industry must highlight the multiplier impact of tourism on job creation and convey this message to every chief minister," he said. Kant suggested that hosting industry events like the CII conference in tourism-rich states such as Rajasthan and Kerala, which have seen substantial benefits from the sector, would be an excellent way to inspire further growth.

Additionally, Kant proposed that India should work to become a global hub for Meetings, Incentives, Conventions, and Exhibitions (MICE), pointing to the country’s advanced infrastructure such as Yashobhoomi and Bharat Mandapam. "The MICE market is enormous, and with facilities that rival the best in the world, India has the potential to host premier global events," he explained.

Puneet Chhatwal, Chairman of the National Committee on Tourism at CII, underscored the importance of a collaborative approach between tourism, hospitality, and civil aviation. "Jobs are created across these sectors, and infrastructure development must include hospitality," Chhatwal noted.

He also stressed the need for a revision of outdated taxation policies that are currently hindering the growth of the tourism sector. Chhatwal urged policymakers to recognize tourism as a strategic priority in India’s evolving economy to fully harness its potential.

As India looks to capitalize on the immense potential of the tourism industry, the sector's role in driving job creation and economic development will be critical to the nation's future growth.