Airbnb contributed over INR 72 bn to Indian economy in 2022, supported 85k jobs: Report, ET TravelWorld


<p>Representative Image</p>
Representative Image

Airbnb has reportedly contributed over INR 72 Billion (USD 920 million) to Gross Domestic Product and supporting over 85,000 Indian jobs in 2022 alone. New research from Oxford Economics revealed that the GDP contribution and jobs supported in India has more than doubled since 2019 despite the Covid-19 outbreak and international border restrictions.

The report also highlighted the powerful multiplier effect Airbnb guest spending has within local communities. In 2022, Airbnb guests spent a total of INR 64 billion (USD815 million) in India in areas like purchases on transportation, restaurants, retail stores, and retail stores.

The guests spent in 2022 more than doubled the 2019 levels.

The report shared that in India, Airbnb’s presence was the highest in Goa, where the guests’ spending amounted to almost INR 14.8 billion (USD 190 million). This was followed by Bangalore and Delhi, Mumbai and Manali.

In 2022, domestic Airbnb guest spending totalled INR 52.6 billion (USD 670 million), and accounted for approximately 82 per cent of total Airbnb guest spend in India, around a three-fold increase from 2019.

The report also explores two key changes in travel behaviour since the pandemic: the dispersal of tourism away from urban areas, and long-term stays driven by the emergence of flexible work arrangements.

“The economic contribution to both GDP and jobs driven by travel on Airbnb in India has created powerful economic ripple effects that have enabled the growth of local businesses, such as shops, restaurants, bars, and cafes — which are often central to how travellers experience a destination — and created job opportunities for the locals,” said Amanpreet Bajaj, Airbnb’s General Manager for India, Southeast Asia, Hong Kong and Taiwan.

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“As destinations across India continue to recover, we are committed to partnering with governments and communities to rebuild their tourism economies in a way that is equitable, inclusive, and sustainable,” he added.James Lambert, Director for Economic Consulting in Asia for Oxford Economics acknowledged that Airbnb has clearly played a major role in the resilience and rebirth of the Indian travel and tourism sector in the wake of the Covid-19 pandemic.

“Airbnb has been at the heart of some of the trends reshaping the nation’s travel and tourism industry, including the shift in travel away from cities and towards more rural communities, and the increase in demand for long-stay trips, exemplified by the live and work anywhere phenomenon,” said Lambert.

He added that the domestic travellers have been crucial to the tourism sector’s resilience over the past three years as Indian guests saw opportunities in domestic travel as a substitute for international holidays, with self-drive and regional trips increasing in popularity. This, he highlighted, led to a wider dispersion of tourism spend outside the traditional or popular destinations in India.

The report by Oxford Economics presents results for the twelve month period up to and including March 2023, representing a year since travel restrictions started to be removed across India.

  • Published On Oct 4, 2023 at 04:00 PM IST

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