India’s business travel sector is experiencing “dramatic” growth, and the country is expected to become a global “leader” in the coming decades, according to a new report.
The Global Business Travel Association (GBTA) third outlook report for India revealed that the country’s total business travel spending is expected to grow 9.8% in 2015 and 10.9% in 2016 – the first year of double-digit gains since 2011.
In terms of domestic spending, the GBTA forecasts growth of 10.1% and 11.3% in 2015 and 2016, while international outbound business travel spending from India is forecast to rise 7.9% in 2015 and 7.3% in 2016.
“India is poised for economic harmony as the region is strongly growing in the short-term and is also in an excellent position for the long-term,” said Michael W. McCormick, GBTA executive director & chief operating officer. “If India continues on its current growth path, it will be a world leader in business travel for decades to come.”
Much of this positive outlook has been attributed to the “Modi dividend”, as the policies of Narendra Modi‘s government have helped boost India’s economy.
“The combination of an aspirational middle class, positive government reforms and strong economic sentiment has resulted in an increased demand for business travel,” explained TR Ramachandran, GBTA’s group country manager for India & South Asia.
The launch of India’s new National Tourism Policy in May is also expected to boost the sector.