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SUB: KEY BUDGET ANNOUNCEMENTS FOR TOURISM & HOSPITALITY SECTOR

Dear Member,

As you are aware, the Hon’ble Finance Minister, Smt. Nirmala Sitharaman today presented the Union Budget for the Financial Year 2023-24, underlining that “the government envisions a prosperous and inclusive India, in which the fruits of development reach all regions and citizens”. She also underlined that despite the global slowdown the Indian economy registered a 7% growth, which is the highest among all the major economies and that the country’s economy is on the right track, and despite a time of challenges, heading towards a bright future.

Placed below are some important budget announcements related to Tourism & Hospitality Sector  -:

• Promotion of tourism will be taken up on mission mode, with active participation of states, convergence of government programmes and public-private partnerships.
• 50 destinations will be selected through challenge mode and would be developed as a complete package.
• 50 additional airports, heliports, water aerodromes and advance landing grounds will be revived for improving regional air connectivity.
• Revamped Credit Guarantee Scheme for MSMEs will take effect from 1st April 2023 through infusion of 9,000 crore in the corpus.
• The cost of the credit will be reduced by about 1 per cent under the revamped scheme. 
• Physical connectivity, virtual connectivity, tourist guides, high standards for food streets and tourists’ security, all the relevant aspects would be made available on an App to enhance tourist experience.
• The focus of development of tourism would be on domestic as well as foreign tourists.
• Sector specific skilling and entrepreneurship development will be dovetailed to achieve the objectives of the ‘Dekho Apna Desh’ initiative.
• Under the Vibrant Villages Programme, tourism infrastructure and amenities will also be facilitated in border villages.
• Swadesh Darshan Scheme’ shall promote integrated development of theme-based tourist circuits.
• States will be encouraged to set up a Unity Mall in their state capital or most prominent tourism centre or the financial capital for promotion and sale of their own ODOPs (one district, one product), GI products and other handicraft products.

You may download the copy of the Budget Speech of the Hon’ble Finance Minister by clicking the link below Budget Speech 2023-24.pdf . 

This is for your information and kind perusal.

With best regards, 

Jaison Chacko
Secretary General
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The Federation of Hotel & Restaurant Associations of India
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