Budget to boost tourism

After Union Budget presentation, Minister of Tourism thanks Prime Minister and Finance Minister for the focus placed on development of infrastructure, connectivity and border linkages, which, he says, will boost tourism in India.

Nisha Verma

G Kishan Reddy, Union Minister of Tourism, Culture and DoNER, said that an additional amount of Rs. 2,400 crore has been earmarked for the Union Ministry of Tourism (MOT).

“This budget is 18.42 per cent higher than the allocation in 2021-22. It will be used by MOT for developing tourism infrastructure, marketing & promotion and capacity building. As India celebrates 75 years of independence with Azadi Ka Amrit Mahotsav, we are entering Amrit Kaal and this budget presents a blueprint for India at 100. This year’s budgetary allocations for Vikas (development) and Virasat (heritage) go hand in hand, as evidenced by significantly higher budgetary allocations for the Tourism and Culture Ministries,” he said.

The pluses
Lauding the PM Gati Shakti Masterplan, Reddy shared, “Gati Shakti is driven by seven engines — roads, railways, airports, ports, mass transport, waterways and logistics infrastructure. These engines supported by energy transmission, IT communication, bulk water, sewerage and social infrastructure, will pull forward not just the economy but will also play a role in boosting tourism in India.”

The Union Budget has also planned for development of new river links (Daman Ganga Pinjal, Par Tapi Narmada, Godavari Krishna, Krishna Pennar, and Peenar Kaveri), which will boost cruise tourism that has seen great success on the Ganga and Brahmaputra rivers.

With the budget placing focus on developing roads in border regions, Reddy said, “MOT has been making efforts to boost border tourism in the country. Border villages with sparse populations, limited connectivity and infrastructure often get left out of development gains. Such villages on the northern border will be covered under a new Vibrant Villages Programme. Activities will include construction of village infrastructure, housing, tourist centres, road connectivity, provision of decentralised renewable energy, DTH access of DD and education channels, and also support for livelihood generation.”

Allocations
Reddy shared that out of the Rs. 2,400 crores, Rs. 1,644 crores have been earmarked for the development of tourism infrastructure, including an outlay of Rs. 1,181.30 crore for the Swadesh Darshan Scheme.

The budget allocation will help the Ministry to complete ongoing projects under the scheme, and the infrastructure created will provide a better tourism experience for tourists at smaller and lesser-known destinations. A total of 55 new destinations are being planned to be developed under the Swadesh Darshan scheme and the Ministry will continue to have its focus on the Northeast, Himalayan region, tribal regions etc.

He also said that Rs. 235 crores have been allocated for the PRASHAD Scheme.

“A total of 37 projects have been sanctioned under the PRASHAD Scheme, of which 17 projects have been completed,” he added.

Sharing details about the other initiatives, he said, “Under the various schemes run by MOT, we have developed 278 parking lots, 278 toilets, 181 cafeterias and 34 sound and light shows among other things.”

Highlighting the importance of the Northeast from the tourism perspective, Reddy shared, “We are happy to see that the budget supports a major thrust for the region. The PM development initiative for the Northeast, PM-DevINE, being implemented through the Northeast Council, will fund infrastructure in the spirit of PM Gati Shakti and social development based on the health needs of the North East. This will specifically benefit the youth and women of the North East. An initial Rs. 1,500 crore has been made available. MOT has further allocated Rs. 227 crore for the North-Eastern States for the year 2022–23; Rs. 98 crore is earmarked under the Tribal Sub Plan for the creation of tourism infrastructure in the tribal areas,” he stated.

Sharing more details, he said, “An allocation of Rs. 130 crore is set apart for the development of iconic sites. The remaining allocation would be used for funding other schemes like capacity building for service providers, champion service sector schemes, information technology, etc. and also to meet the establishment expenditure of the Ministry and its subordinate offices, the India Tourism Offices in the country and abroad.”

Around ten scheduled commercial banks have launched the new Loan Guarantee Scheme for the COVID-affected Tourism Service Sector (LGSCATSS). “Cheques/ sanction letters have been distributed to some of the beneficiaries of LGSCATSS. An allocation of Rs. 12.50 crore is provided under MOT’s Budget for 2022-23 for this purpose. The total allocation proposed under the scheme for five years is Rs. 62.5 crores,” shared the minister.

Emphasis on promotions
By leveraging the success of India’s robust COVID-19 vaccination drive, “Ministry will continue to place focus on marketing and promoting both domestic as well as inbound tourism,” he said.

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