WEF tourism index: India jumps nine places to 31st, Japan tops global rankings
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India has climbed nine places to rank 31st in the World Economic Forum’s (WEF) Travel and Tourism Development Index, driven by its cost-competitive travel environment, rich cultural resources, and improving tourism infrastructure.
Japan topped the index, developed in collaboration with Zurich Insurance Group, followed by the US, Spain, Australia and France.
While advanced economies continued to dominate the rankings, emerging markets such as China, India, Indonesia, Malaysia, Thailand, Vietnam, the Philippines, Türkiye, Mexico, and Brazil recorded strong momentum, the WEF said.
China, India, and Mexico also featured among the top 10 economies for the number of World Heritage cultural sites.
What is driving India's rise in tourism rankings?
According to the report, India combines a highly cost-competitive travel environment with rich cultural resources, abundant natural assets, and well-distributed tourism demand.
"Rapid improvements in tourism infrastructure, cultural assets and business travel resources have helped drive one of the largest gains among major tourism economies," the report said. However, workforce skills, environmental sustainability and the quality of tourism infrastructure remain key challenges for India, despite recent improvements in visitor services.
Globally, travel and tourism conditions have strengthened across most economies, but destinations face growing pressure to convert record demand into long-term economic benefits amid rising costs, geopolitical tensions, climate disruptions, workforce shortages and mounting pressure on infrastructure and local communities.
The report found that 101 of the 110 economies covered by the index improved their scores between 2024 and 2026, with the global average rising 2.1% — the fastest pace of improvement since 2019.
The gains were largely driven by improvements in cultural resources, tourism infrastructure and services, air connectivity and business travel.
"The latest Travel & Tourism Development Index shows that the enabling conditions for travel and tourism are at their strongest since the pandemic, with 92 per cent of economies improving since 2024," said Ramya Krishnaswamy, Head of Experience Economy and Cities at the WEF.
"The next chapter is not simply about attracting more visitors, but it is going to be about creating greater value by investing in people, infrastructure and stronger public-private collaboration so tourism delivers lasting benefits for communities, businesses and destinations," she added.
Rising travel costs and labour shortages threaten tourism growth
Despite the improvement in global rankings, the WEF warned that the tourism industry faces growing challenges as rising demand puts pressure on infrastructure, investment and local communities.
Between 2024 and 2026, travel became less affordable in three out of four economies. At the same time, tourism investment failed to keep pace with rising demand, while labour shortages emerged as another constraint on future growth.
The report also highlighted a weakening of benefits for local communities during this period, suggesting that higher tourist arrivals do not necessarily translate into better livelihoods or higher-quality employment. The challenge is particularly pronounced in destinations where tourism is highly seasonal, making it difficult to generate stable jobs and sustain economic benefits throughout the year.