With a growing appetite for international travel and a preference for lesser-explored locations, India’s middle class is reshaping the landscape of tourism in Asia, according to different studies published recently.

In its report, How India Travels Abroad, India’s largest Online Travel Agency MakeMyTrip, says that Indians who took two or more trips in one year rose by 32 pc from June 2023 to May 2024. New destinations, including Hong Kong and Central Asia, are seeing spikes in interest due to improved connectivity and affordable packages.

MMT’s report finds that more Indians are increasingly exploring new destinations, such as Almaty in Kazakhstan and Baku, the capital of Azerbaijan, which registered annual growth of 527 pc and 395 pc for online searches, respectively.

Powered by rising disposable income, interest in luxury travel has been rising with online searches for Hong Kong surging by 131 pc annually as Indian businessmen see the city as a gateway to mainland China to seal deals and explore the city’s clubs and restaurants. 

This was followed by searches to Sri Lanka, Japan, Saudi Arabia and Malaysia. Hong Kong has attracted the attention of premium Indian travellers because they view the city ‘as a glamorous, multifaceted and experience-rich international city, a place worth splurging.’ 

More than half of all trips to international destinations were for leisure, followed by 33 pc for visiting friends and relatives. Search volumes for international travel remained consistent throughout the year, with December being the busiest month.

According to the report, the top three countries of interest for Indian tourists were the United Arab Emirates, Thailand and the United States, with Singapore and Indonesia following closely behind.

The top 10 countries of interest for Indians in the June 2023 to May 2024 period remained the same as the previous years.

Mayur Patel

“With a growing middle class and the rise of affordable international packages, many first-time travellers (from India) are heading abroad. This trend will contribute to sustained growth, especially in regional destinations,” says Mayur Patel, Head of Asia at aviation data tracking and analysis firm OAG.

He says that improved flight connectivity and simpler visa procedures in a number of neighbouring countries, such as Thailand, Indonesia and Malaysia, have contributed to the travel boom in India. Patel adds that the lifting of the strict travel restrictions put in place during the pandemic has led to a further rise in outbound tourism.

The number of Indians travelling overseas last year grew between 15 pc and 20 pc compared with pre-pandemic levels. “This momentum is expected to continue in 2024, with projected growth of 10 to 15 pc year-on-year,” Patel adds.

OAG says that travel norms are also being broken by India’s Gen Z and millennial populations, who are increasingly choosing to travel alone rather than with tour groups. As such, this could lead to a rise in backpacking, solo and sustainability travel.

The report finds Indian travellers could boost prospects for the tourism industry as more visitors from China, a key market in the region, seek domestic destinations.

Meanwhile, more than half of hotel bookings in 2023 by Indian travellers were to destinations that impose a tariff of up to INR 7,000 (USD 84) per day, signalling their willingness to pay for premium hotel stays.

South Asian and Southeast Asian destinations such as Pokhara, Pattaya and Kuala Lumpur are the top destinations for budget-friendly stay options, the report adds.