HBI Staff | Mumbai 
The Indian hotel industry is expected to register a revenue growth of seven to nine per cent in the next financial year 2024-25, according to a report by credit rating firm ICRA (Investment Information and Credit Rating Agency).
ICRA said that sustenance of domestic leisure travel, demand for meetings, incentives, conference and exhibitions (MICE) are the factors which will drive demand in the next financial year, despite a temporary lull during the ensuing general elections.
The research firm said that spiritual tourism and Tier 2 cities are expected to contribute meaningfully to the overall demand in the next fiscal.
According to ICRA, estimates for pan-India hotel occupancy reached a decadal high of 70 per cent to 72 per cent in the current financial year and next fiscal, as compared to 68 per cent to 70 per cent in 2022-23.
Pan-India, average room rates (ARRs) are expected to be around INR 7,200 to INR 7,400 in the current fiscal, which is likely to rise further to INR 7,800 to INR 8,000 in the next financial year.
