India’s aviation industry is experiencing significant growth and expansion, which is expected to increase revenue for airport operators in the coming years. According to credit rating agency ICRA, Indian airport operators are projected to see a revenue increase of 15% to 17% in the financial year 2024-25. The overall air passenger traffic in India is also expected to grow by 8% to 11%, with an estimated 407 million to 418 million air passengers. This growth is attributed to factors such as strong economic growth, new routes, and increased connectivity.
Compared to global counterparts, India’s recovery in airport passenger traffic is considered among the best, with a growth rate of 106% in 2023 compared to the global average of 96%. This growth is driven by factors such as domestic and international passenger traffic, higher tariffs at major airports, and an increase in non-aeronautical revenues. Non-aeronautical revenue sources, such as advertising, retail, lounges, and duty-free shops, are expected to contribute significantly to airport operators’ revenue growth in the future.
IHG Hotels and Resorts recently announced the signing of Crowne Plaza Amritsar Airport, which marks the brand’s entry into the state of Punjab. The 136-key hotel is scheduled to open in 2028 as part of IHG’s plans to double its operational portfolio in India to 100 hotels in the next five years. IHG’s growth in India is driven by midscale and upper midscale segments, which accounted for the majority of its hotel signings in 2023. The hospitality industry in India is expanding rapidly, with new international and domestic brands making their mark in various regions of the country.
Minor Hotels has appointed Puneet Dhawan as the Head of Asia, effective from July, signaling the company’s commitment to growth in India and the wider Asian region. Dhawan joins Minor Hotels from Accor, where he has held various leadership positions over the past 25 years. In his new role, Dhawan will oversee the performance of all properties of Minor Hotels in Asia as the company aims to open 50 properties in India over the next decade. This growth includes the debut of the luxury Anantara brand in Jaipur later this year.
South Africa is simplifying the visa application process for Indian travelers, with plans to introduce an e-visa system and expedite visa clearance specifically for Indian passport holders. The country is also considering granting a visa waiver to Indian and Chinese passport holders for up to 90 days and allowing for visa extensions while visiting South Africa. This move is aimed at attracting more Indian tourists to South Africa, with the goal of welcoming 100,000 Indian visitors this year. Other countries, such as Thailand and Sri Lanka, are also easing visa restrictions for Indian passport holders to boost tourism. The tourism industry in various countries is adapting to attract visitors and boost economic growth.
