Hospitality players eye Rs 850 cr G20 opportunity

New Delhi: Hospitality players are looking to cash in on a Rs 850-crore revenue opportunity arising out of India's G20 Presidency through delegation-related travel and accommodation requirements, while also looking to consolidate the foundation for future growth.

With the G20 spurring demand in cities where meetings are scheduled, room rates for five-star hotels in key business cities have increased by about 20 per cent since the last quarter of 2022, and the trend is expected to continue in the coming months, Hotel Association of India Vice President K B Kachru said.

"The event is expected to generate about Rs 850 crore in revenue towards delegation-related travel and accommodation requirements. So it is bound to have a positive impact on the growth of business," he said in an emailed response.

There is a visible impact in the increase in hotel occupancies and revenues as also in the employment prospects in the sector, said Kachru, who is also Chairman Emeritus and Principal Advisor, South Asia, Radisson Hotel Group, adding "The hospitality industry is expected to witness a 5.5 per cent CAGR. According to him, the sector's bullishness during the G20 presidency year stems from the fact that India will host over 200 meetings in 59 different locations across the country with over 1.5 lakh delegates from the Group of 20 countries expected to participate.

In a similar vein, Chalet Hotels Ltd Managing Director & CEO Sanjay Sethi said, "The G20 summit, hosted by India as part of its presidency, is set to provide a major boost to the country. The positive impact of the summit extends beyond the immediate year, encompassing increased international exposure, infrastructure development, and destination branding.