Indian tourism stocks decline amid rising India-Pakistan tensions

Lemon Tree Hotels

09/05/2025 07:52

** Indian tourism stocks .NIFTYINDTOURISM decline 2.5%, taking their 2-day drop to 5%

** The fall aligns with growing tensions between India and Pakistan as the nuclear-armed neighbours have been locked in conflict since Wednesday

** Closure of airports and travel restriction on areas close to border will have impact on travel and hospitality business due to cancellation of bookings during holiday season, says ICICI Direct

** India's top airline IndiGo INGL.NS down 1.3%, while travel booking platforms Easy Trip Planners EASM.NS, IRCTC INIR.NS fall 3.1% and 1.3%, respectively

** Airports operator GMR Airports GMRI.NS falls 2%

** If escalation continues for a while it will have large impact on the business performance of the hotel companies in the near term - ICICI Direct

** Hotel operators Chalet Hotels CHAL.NS, Lemon Tree LEMO.NS slide 2.5% and 3.2%, respectively

** EIH EIHO.NS down 3%, Indian Hotels IHTL.NS slips 5.6%

(Reporting by Kashish Tandon in Bengaluru)

((Kashish.tandon@thomsonreuters.com))