India’s FTAs recovered to 9.2 million in CY2025 but remain below the CY2019 peak of 10.9 million. The West Asia conflict has created near-term pressure through airspace closures, higher travel costs and weaker discretionary travel, leading to a contraction in arrivals in March-April 2026. Over the medium term, FTA growth should be supported by easier travel processes, better infrastructure, wider airport connectivity, India’s rising appeal as an events and investment destination, and improved cost competitiveness from a weaker INR. While geopolitical disruptions may weigh on near-term momentum, structural drivers support a gradual recovery in inbound tourism. 

Exhibit: Long-term trend of FTAs to India

Source: ICRA Research, Ministry of Tourism Note: The FTAs represent the foreign nationals visiting India and excludes the Non-Resident India (NRI) travellers.