India’s travel market stalls in 2025, then bets on a fare-driven rebound
India's travel market is set to grow 13% to US$47.2 billion in 2026, according to Phocuswright. Resilient domestic travel will sustain strong demand for accommodation and car rental, and online penetration is on track to reach 62% by 2029. Online travel agencies and suppliers are expanding across the entire trip, while AI is moving from inspiration into the booking itself. New leadership at IndiGo and Air India is pursuing ambitious long-term growth despite sharply rising fuel costs.
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