Airbnb Contributes ₹113 Billion to India’s Economy in 2024, Boosting Jobs and Tourism
Airbnb Contributes ₹113 Billion to India’s Economy in 2024, Boosting Jobs and Tourism
Airbnb is emerging as a major growth driver for India’s tourism and hospitality industry. According to new research by Oxford Economics commissioned by Airbnb, the platform contributed a remarkable ₹113 billion to the Indian economy in 2024, supported 111,000 jobs, and generated ₹24 billion in wage income.
This report underscores the scale of domestic demand driving Airbnb’s expansion in India, highlighting how short-term rentals are reshaping travel patterns and fueling inclusive growth.
Rising Domestic Demand: Indian Travellers Lead Airbnb Growth
Domestic tourism remains the biggest force behind Airbnb’s success in India. In 2024, 91% of Airbnb’s guests in India were domestic travellers, up from 79% in 2019. This shift reflects the growing trend of Indians exploring diverse destinations within the country, particularly among younger travellers who prefer unique Airbnb stays over traditional options.
Among international visitors, the United States, United Kingdom, Canada, and Australia ranked as the leading source markets for Airbnb India.
Statement from Airbnb Leadership
“Travel today is transformative, and we’re delighted to see Airbnb contributing meaningfully to India’s economy through our vibrant network of hosts and guests,” said Amanpreet Bajaj, Country Head – Airbnb India and Southeast Asia. “This report shows how domestic travel continues to be the primary engine of tourism in India, fueling micro entrepreneurship, boosting allied sectors, and supporting small businesses across both emerging and lesser-known destinations. This momentum signals a broader shift toward more inclusive, locally driven tourism, and we are committed to supporting long-term, sustainable growth in partnership with governments and communities.”
How Airbnb Guests Spent in India in 2024
Airbnb guests in India collectively spent ₹112 billion during 2024, covering both accommodation and non-accommodation expenses.
- Average stay: 2 nights
- Daily non-accommodation spending per guest: ₹11,000
Breakdown of in-destination expenditure (per ₹10,000 spent):
- ₹3,800 on restaurants
- ₹2,400 on transport
- ₹2,100 on shopping
- ₹900 on arts & entertainment
- ₹800 on groceries
This spending directly boosted local restaurants, transport providers, retail shops, and cultural activities, ensuring that tourism revenue reached small and local businesses.
Impact on Hosts and Local Communities
Earnings by Airbnb hosts contributed significantly to the local economy by funding property upkeep, domestic services, and personal spending. These ripple effects further supported small trades and businesses across India.
The report estimates that Airbnb represented 0.5% of India’s travel and tourism GDP in 2024 and accounted for 0.2% of employment in the sector equivalent to one in every 417 tourism-related jobs.
Sector-Wise Contribution of Airbnb in India
Beyond tourism, Airbnb also created economic value across multiple industries in 2024:
- ₹31 billion in transport & storage
- ₹15 billion in agriculture
- ₹13 billion in real estate
- ₹12 billion in manufacturing
Employment supported by Airbnb (2024):
- 38,000 jobs in transport & storage
- 19,600 jobs in food & beverage services
- 16,800 jobs in wholesale & retail trade
- 10,700 jobs in manufacturing
This translated into direct wage benefits including:
- ₹8.1 billion in transport wages
- ₹2.9 billion in manufacturing wages
- ₹2.6 billion in real estate wages
Growth Beyond Cities: Rural Tourism on the Rise
The report also highlights a shift toward non-urban destinations. In 2024, non-urban destinations accounted for 16% of gross booking value a threefold increase compared to 2019. This trend indicates rising interest in rural and lesser-known destinations outside major cities, further boosting regional economies.
Expert Insights from Oxford Economics
“Airbnb is playing an important role in India’s tourism market by broadening access to travel and dispersing its benefits more widely across the country. By connecting travellers with unique stays in lesser-known destinations, the platform is helping drive tourism demand across local communities in India. This leads to an expansion in economic opportunities, supporting livelihoods and sustaining small enterprises far beyond the major cities,” said James Lambert, Director of Economic Consulting Asia for Oxford Economics.
Conclusion: Airbnb as a Growth Engine for India’s Tourism Economy
The Oxford Economics report highlights Airbnb’s transformative role in India’s tourism landscape. By creating economic value worth ₹113 billion, supporting over 111,000 jobs, and diversifying travel to rural destinations, Airbnb is driving a more inclusive, sustainable, and community-focused tourism ecosystem.
As domestic travel continues to thrive and global connectivity grows, Airbnb is expected to remain a key player in India’s hospitality and tourism economy for years to come.
