As more Indians book overseas vacations, foreign travel spending is adding pressure to the rupee, pushing the government toward interventions that are difficult to design without collateral damage. The editorial argues that while domestic tourism is expanding through aviation and highways, fuel prices being kept artificially low distorts consumer signals and can worsen the long-term impact if demand falls. It warns that India’s tourism mix is too concentrated in religious travel and calls for diversification, infrastructure, and skills across states.
Investor Vijay Kedia urged Anand Mahindra to carry out a strategic rethink at Mahindra Holidays & Resorts India, arguing the company’s India domestic tourism opportunity is being undervalued. Despite strong demand for experiential family travel and healthy occupancy with Club Mahindra’s brand strength, losses from its overseas Holiday Club business are, in his view, dragging overall valuation. Kedia suggested options like ring-fencing, restructuring, demerging or cutting exposure to the European subsidiary so India operations can be assessed independently.
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India’s heatwave is pushing travelers to cooler escapes like Dehradun and Munnar, with travel firms reporting a sharp rise in hill-station bookings. Summer holidays appear to be arriving earlier this year, a shift expected to support healthier domestic tourism growth. Popular destinations are also seeing hotel rates climb as demand intensifies.
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