India hotel industry expands with new rooms and MICE infrastructure

India’s hospitality sector is undergoing significant expansion, with approximately 100,000 additional branded hotel rooms projected to be added through 2030. This growth is increasingly driven by Tier-2 and Tier-3 cities, where branded signings reached over 51,000 keys in 2025.

Parallel to room growth, the country is seeing a rise in specialized MICE (Meetings, Incentives, Conferences, and Exhibitions) infrastructure. The development of standalone, multi-utility convention centres is shifting the landscape away from traditional hotel-based ballroom models, forcing hotels to adapt their service offerings to meet changing client requirements.

The Hotel Association of India (HAI) has defended recent surges in hotel room rates, noting that prices in Delhi rose by as much as 90 percent during the 18th BRICS Summit. HAI leadership stated that such price fluctuations are a global standard driven by demand-supply gaps during major international events, comparable to aviation pricing.

Additionally, the HAI is calling on state governments to fulfill promises regarding tourism industry status. While seventeen states have declared tourism an industry, the association notes that the implementation of benefits—such as lower utility tariffs and improved access to institutional financing—has been inconsistent across most regions.