EaseMyTrip To Invest Rs 100 Crore For Building Five-Star Hotel In Ayodhya Amid Tourism Surge
Travel agency EaseMyTrip has revealed its intentions to construct a luxury five-star hotel in Ayodhya, near the Sri Ram Mandir. This announcement resulted in a notable increase in the company's share price on Monday.
The company's board of directors has given approval for a Rs 100 crore investment in Jeewani Hospitality Private Limited to facilitate the implementation of the hotel project. The proposed location is anticipated to be approximately 1 km from the Sri Ram Mandir.
EaseMyTrip co-founder and CEO took to X to make this announcement.
¡°¡we have greenlit a groundbreaking proposal to venture into the hospitality sector with the establishment of a luxurious 5-star hotel in Ayodhya, strategically located less than 1 km from the revered Shree Ram Mandir. This decision marks a significant investment milestone of up to Rs 100 crore in Jeewani Hospitality Pvt Ltd, the entity spearheading this ambitious project,¡± EaseMyTrip CEO and co-founder Nishant Pitti wrote on X.
Tourism Surge In Ayodhya
The construction of the Ram Mandir in Ayodhya is predicted to bring about a substantial economic impact on the region. According to the global brokerage firm Jeffries, the holy town is expected to witness a surge in tourism, attracting approximately 5 crore visitors each year. This influx of pilgrims and tourists is likely to contribute significantly to the local economy, including the hospitality, retail, and service sectors. Such developments underscore the potential for economic growth and opportunities that major religious and cultural landmarks can bring to the surrounding areas.
Hotels In Ayodhya
Ayodhya is experiencing a notable upswing in hotel construction and development. Presently, the city boasts about 17 hotels providing around 590 rooms. In anticipation of a substantial rise in tourist arrivals, a report indicates that there are plans for 73 new hotels, with construction already underway for 40 of them. This surge in hotel infrastructure suggests the proactive measures being taken to accommodate the expected influx of visitors, particularly in light of significant cultural and religious developments like the construction of the Ram Mandir.
Numerous well-known hotel chains and hospitality companies, including IHCL (Indian Hotels Company Limited), Marriott International, Wyndham, and OYO Rooms, have expressed plans to establish additional hotels in Ayodhya. This indicates a growing interest and investment from major players in the hospitality industry to capitalize on the anticipated rise in tourism and accommodation demand in the region.
The upcoming hospitality projects are anticipated to contribute a substantial increase in room capacity, aiming to accommodate the growing number of tourists and pilgrims visiting Ayodhya. This expansion in accommodation facilities reflects the proactive measures taken by the hospitality sector to meet the rising demand driven by cultural, religious, and tourist attractions in the region.
The Consecration Of Ram Mandir Is Expected To Significantly Boost Other Businesses In Ayodhya As Well.?
Jefferies has picked Indian Hotel Company and EIH as the potential beneficiaries from hotel space, while it sees ITC, Jubilant Foodworks, Britannia Industries, Godrej Consumer, Westlife Foodworld, Hindustan Unilever, Devyani International and Sapphire Foods from the FMCG and QSR space. InterGlobe Aviation (Indigo), SpiceJet, IRCTC and Ease My Trip shall benefit from the travel sector.
¡°A $10 billion makeover (around Rs 82,500 crore) which includes a new airport, revamped railway station, township, improved road connectivity, etc. will likely drive a multiplier effect with new hotels and other economic activities. It can also set a template for infra-driven growth for tourism,¡± the Jefferies report states.
Amid increased economic and religious migration to Ayodhya, ¡°multiple sectors stand to benefit including hotels, airlines, hospitality, FMCG, travel ancillaries, cement etc,¡± the report added.
¡°The makeover is now set to transform the ancient city from a sleepy town to a global religious and spiritual tourist hotspot. Tourism is projected to surge and increased economic and religious migration to Ayodhya, multiple sectors stand to benefit including hotels, airlines, hospitality, FMCG, travel ancillaries, cement etc,¡± the Jefferies report added.
(With inputs from IANS)
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