Madhavan Menon

Chairman & Managing Director, Thomas Cook (India)

Against the challenging backdrop of the COVID era, the Union Budget 202122 is expansionist: We welcome the much-needed investments in healthcare, focus on capital expenditure, prioritisation of assets, privatisation and no change in taxation–structured around a clear pivot to inspire economic growth. While the six pillars of the Budget presented a diversified approach to fundamentals, across health, capital, infrastructure, inclusive development, human capital and innovation, focus on the Travel and Tourism sector has been noticeably absent.

For an industry that is a crucial contributor to India’s GDP and a powerful force multiplier, priority tourism-related announcements – an imperative to revival and sustenance – were clearly missed. We are looking at a long road to recovery, and the Union Budget has not provided the helping hand that was expected of it. We welcome the focus on transportation infrastructure that forms a crucial base for Inbound & Domestic Tourism – with the announcement of a Rs. 1.18 lakh crore outlay for the Ministry of Road Transport and Highways (proposed 3500 km corridor in Tamil Nadu, 1,100 km in Kerala, 675 km in West Bengal and 1300 km in Assam in the coming 3 years); equally the proposal of a future-ready rail system by 2030 and the next phases of metro projects in key cities with the ‘Metro Lite’ and ‘Metro New’ concepts for tier 1 and 2 regions. From an aviation perspective, the announcement of airport privatisation in tier 2 and 3 cities/towns will serve as a boon towards access and affordability; the creation of a hub and spoke model will serve to catalyse the government’s initiatives around Project UDAN and Regional Connectivity.”