The domestic hotel industry is expected to see room revenue rising at about 11-13 per cent CAGR over the next five years, mainly on the back of economic growth. Domestic travellers continue to be the majority generators of room night demand in India. Foreign demand, on the other hand, has remained stable. For the current financial year 2017-18, CARE expects the momentum to pick up and the industry to register a growth of about 7-9 per cent in revenues. However, rupee appreciation as compared to currencies of other countries and liquor ban in some states would restrict the growth to some extent. Foreign tourist arrivals are expected to reach 12-13 million by 2020-end, mainly on the back of increasing international trade, multinational companies setting up their operations in India, more airports and connectivity, among others.
Hotels to see 11-13 per cent growth in room revenue over 5 years: CARE
Date posted: Monday 11 September 2017