Govt may pitch adventure tourism as revenue model for states in budget, may announce ₹500 cr outlay for tourism sector

Subscribe to enjoy similar stories. New Delhi: The Union Budget may promote adventure tourism as a new source of revenue for states, aiming to formalize the segment. Also, the budget is likely to announce schemes worth ₹500 crore to promote tourism, according to two government officials aware of the development.

The emphasis, one official said, is not only on tourism promotion but also on enabling adventure tourism to deliver a steady income to states. Revenue generation is a key driver behind the proposed approach. By integrating adventure tourism hubs with existing tourism circuits, the government expects to lengthen tourist stays, raise per-visitor spending and help states monetize natural assets without resorting to large-scale construction and urban expansion.

The development assumes significance given that, despite strong domestic demand and growing global interest, India’s adventure tourism sector remains fragmented. States like Uttarakhand, Himachal Pradesh, and Jammu and Kashmir, among others, have emerged as natural hubs, but the absence of consistent national standards has restricted the sector’s ability to scale and convert natural advantages into sustained economic returns. With this in mind, the annual financial statement for FY27 may also signal framing national standard operating procedures for adventure tourism activities.

The outlay will be spread across initiatives like infrastructure, safety, and capacity-building to position adventure tourism as a scalable economy, not just a niche or seasonal activity, said the second official. India recorded 20.57 million international tourist arrivals in 2024, according to the tourism ministry’s India Tourism Data Compendium in 2025. Tourism receipts rose to