In the state assembly, Finance Minister K.N. Balagopal has unveiled a budget for 2024-25, identifying tourism alongside IT, IT-ES, and startup sectors as key pillars of the state’s economy. Allocating INR 351.42 crore for the tourism sector, with INR 78 crore specifically for branding and marketing, the minister emphasized its pivotal role in the state’s post-Covid recovery, boasting a surge in domestic and international visitors.
Acknowledging the state’s inclusion in the top 50 global destinations list, Balagopal stressed the urgency to address infrastructure gaps to meet escalating tourist demands. To facilitate large conferences and events, plans for the establishment of convention centers are underway, with a forthcoming policy to entice private investors through lowered interest rates facilitated by entities like the Kerala Financial Corporation and other financial institutions.
Anticipating a demand for 10,000 additional hotel rooms within three years, the minister aims to attract INR 5000 crore of private investments by implementing favorable policies. Furthermore, plans to develop accommodation and conference facilities for 500 people across 20 destinations, including Varkala, Munnar, Fort Kochi, and Kannur, are proposed, with an initial allocation of INR 50 crore.
To incentivize private investments in tourism infrastructure, INR 15 crore has been earmarked for subsidies and incentives. Additionally, the budget envisions the establishment of eco-tourism centers statewide and the creation of a dedicated authority, the Kerala Forest Ecotourism Development Authority, to oversee this initiative. Moreover, plans for the construction of mini-marinas and yacht hubs in strategic locations such as Kochi and Alappuzha are outlined, aiming to enhance tourism infrastructure comprehensively.
