Hotels to add over 100k rooms in 5 yrs

Key stack Occupancy hovered around 68-70% and rates held firm amid steady demand and limited new supply.

- Varuni Khosla

India's organised hotel industry is set to add more than 100,000 rooms to surpass the 300,000-mark by 2029, as religious tourism, rising prosperity, and key infrastructure projects are likely to fuel growth for the hospitality sector, a new report said.

The future supply pipeline is focused on leisure destinations, including religious tourism hubs. Despite some short-term challenges, there is strong optimism that hotels will continue to do well, underpinned by rising discretionary spending and higher occupancy rates.

But as the travel and hospitality industry enters FY26, a steady decline in stock markets poses challenges, raising concerns about its impact on consumer spending on travel.