Bring Tourism Sector Under Priority Sector Lending: Ap Chambers To RBI

Vijayawada: Andhra Pradesh Chambers of Commerce and Industry Federation (AP Chambers) has appealed to Sanjay Malhotra, Governor of the Reserve Bank of India, for the inclusion of the tourism sector under the Priority Sector Lending (PSL) framework.

AP Chambers president Potluri Bhaskara Rao in the representation highlighted the immense potential of tourism to drive economic growth, create employment opportunities, and contribute significantly to foreign exchange earnings while fostering inclusive development across the nation.

In its representation, AP Chambers stated that tourism is a vital component of India’s economy, serving as a major contributor to GDP and a key driver of employment across urban and rural regions. However, the sector has been significantly impacted

by challenges such as the Covid-19 pandemic and global economic disruptions. AP Chambers emphasised that the inclusion of tourism under the PSL framework is essential to unlock its potential and ensure its sustainable growth. AP Chambers stated that prioritising tourism under the PSL framework would drive widespread economic benefits. Tourism stimulates growth in ancillary sectors like transportation, hospitality, and retail, while creating significant employment opportunities, particularly for youth and women. The sector also generates substantial foreign exchange and supports infrastructure development, benefiting local communities and fostering rural progress.

AP Chambers noted that strategic financial support would help preserve cultural heritage, promote MSMEs, and enhance India’s global competitiveness. Highlighting success stories from countries like Thailand and Maldives, the federation urged India to prioritise tourism for sustainable development and to achieve its goal of becoming a $5 trillion economy by 2025.