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Home  » Business » Meltdown, terror strikes take toll on tourism

Meltdown, terror strikes take toll on tourism

Source: PTI
February 24, 2009 12:30 IST
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Terrorist attacks and the global economic slowdown have resulted in a fall in the number of tourists travelling to India since October last year, the Rajya Sabha was informed on Tuesday.

Replying to supplementaries during question hour, Tourism Minister Ambika Soni said 5.08 million tourists visited India in the year 2007, recording a growth of 14.56 per cent. This growth rate was better than the world average of around 6 per cent.

However, since October last year, there has been some reduction, she said. "This is not just because of terrorist attacks but also due to economic recession in source markets like the US and western Europe."

In December 2008, foreign tourist arrivals numbered 521,990; this was 12.5 per cent lower than the number of arrivals in the corresponding month of the previous year. Similarly, January saw a 17.6 per cent drop to 487,262 arrivals.

Soni said the ministry of tourism provides central financial assistance to the state governments for infrastructure development in rural sites having tourism potential under the Scheme of Product/ Infrastructure Development for Destination and Circuits. The ministry sanctions Rs 50 lakh (Rs 500,00) for infrastructure development and Rs 20 lakh (Rs 200,000) for capacity building for each rural site, she added.

"So far, 139 rural projects in 27 states have been sanctioned, including 36 rural sites where United Nations Development Programme has provided support for capacity building," Soni said.

The ministry of tourism also promotes and publicises all tourism products including rural tourism sites through the print, electronic and internet media. This is done under the Incredible India campaign; rural eco-holidays have also been included in the Visit India 2009 promotion.

"Information is also disseminated through the website and through India Tourism Offices in the country and abroad," Soni added.
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