New Delhi, August 23 — The recent political unrest in Bangladesh has significantly affected India's tourism industry, particularly in Kolkata, where a notable decline in Bangladeshi tourists has been observed. Previously bustling areas such as Park Street and its surroundings, popular with Bangladeshi visitors for shopping and leisure, now see markedly fewer visitors from the neighboring country.
The political upheaval began in July when the student quota reform movement gained momentum, culminating in the fall of Sheikh Hasina's government on August 5, following widespread public participation. An interim government has since taken power in Bangladesh, leading to a dramatic reduction in travel from Bangladesh to India, with tourist numbers dropping by more than 90 percent.
Local businessmen in Kolkata have reported a significant downturn in business, stating that the current lack of Bangladeshi tourists is unprecedented outside of the COVID-19 pandemic period. Typically, Bangladeshi visitors travel to Kolkata for medical treatment, shopping, and tourism, especially during festive seasons such as Eid, Puja, and weddings.
According to Indian government data, the number of Bangladeshi tourists visiting India increased in 2023, though it was still 15.5 percent below pre-pandemic levels. In 2023, India welcomed 9.23 million foreign tourists, generating revenue of over 24,000 crore rupees. Bangladeshi tourists accounted for more than 22.5 percent of this total, making them the largest group of foreign visitors to India.
Before the political crisis, approximately 5,000 Bangladeshis crossed into India daily via various border points. The significant drop in Bangladeshi tourists has resulted in an estimated monthly revenue loss of 750 crore rupees for India.
The tourism and hospitality sectors in Kolkata, which heavily rely on Bangladeshi tourists, are particularly feeling the economic impact of this decline, highlighting the interconnectedness of the two countries' economies.
Comment: