Impact of Global Economic Recession on the Indian Tourism Industry

Abstract

The global economic recession affected almost every economy of the world both developed and developing in different magnitudes. These effects were detected in greater amount and in greater number of economies compared to previous global recessions, because of the increased volume of world trade supported by liberalised trade policy of many developed and newly emerging market economies. The 2008 economic recession resulted in the remarkable reduction in the international tourist arrivals which resulted in the loss of employment, sale of goods and services, investment and income of those households which were directly or indirectly engaged in this profitable economic activity. The tourism and hotel service in India was no exception, but it was not impacted in the manner and magnitude as the other countries of the globe were affected by 2008 global economic recession. It is because time has changed and we should not look India as it was in 80’s and 90’. It is now shielded by its unprecedented growing Medical and Domestic tourism.

Objectives

1. To find out the impact of global recession on foreign and domestic tourist arrivals in India.
2. To explore the response of Indian tourism industry towards 2008 global economic recession.