UP's Tax Revenue Expected To Surge By Rs 20,000 - Rs 25,000 Cr Following Ayodhya Ram Mandir Completion: Report

up’s tax revenue expected to surge by rs 20,000 – rs 25,000 cr following ayodhya ram mandir completion: report

Completion of the Ram Mandir in Ayodhya, combined with tourism-promoting initiatives by the Uttar Pradesh (UP) government, likely to foster the in tourist spending in the state. A recent report by State Bank Of India(SBI) anticipates that the total expenditure by tourists in UP could surpass the Rs 4 lakh crore mark by the end of the year.Uttar Pradesh is set also to earn an additional Rs 20,000-25,000 crore in tax revenue in FY25.

Tourist Expenditure Breakdown

State Bank of India (SBI) project that domestic tourists are likely to contribute Rs 2.2 lakh crore to this expenditure in 2022. While, foreign tourists are expected to spend around Rs 10,000 crore. Ayodhya alone recorded 2.21 crore tourists in 2022.

Strategic Tourism Initiatives

SBI researchers recommend to the state government to adopt a comprehensive travel itinerary. To offer a curated experience showcasing the rich history across various significant locations within the state and neighboring regions, by following a hub-and-spoke model. Moreover, the report suggests the possibility of international collaborations to create an extensive tourist map.

Uttar Pradesh’s Economic Achievements

Beyond tourism, the SBI report commends Uttar Pradesh for its achievements on economic and socio-economic fronts. It acknowledges improvements in female labor force participation, increased innovation potential, and growing exports. According to the report state may surpass the $500 billion mark as India progresses towards becoming a $5 trillion economy by FY28.

GDP Projections for Uttar Pradesh

The report estimates that Uttar Pradesh’s gross state domestic product (GSDP) for FY24 will be Rs 24.4 lakh crore ($298 billion). It further anticipates that by FY28, UP could have the second-highest weightage in the Indian GDP, with that UP state GDP might even surpass Norway, which is currently holding the second position in the Human Development Index (HDI).