Andhra Pradesh is witnessing a major shift in its tourism landscape as star hotels and premium resorts move beyond major cities and reach towns and key destinations. The state government aims to ensure that visitors from other states and abroad no longer face a shortage of quality accommodation.
After tourism was granted industrial status, the sector has seen strong investor confidence. Over the last eighteen months, investments worth ₹5,820 crore have been approved, leading to permissions for 27 star hotels and resorts. Three of these projects have already become operational, while several others are under construction or preparing for launch.
The Andhra Pradesh Tourism Authority plays a central role in supporting investors. Details of nearly 3,900 acres of tourism land across districts are available on its portal. Investors are assisted with site visits, land selection, and preparation of Detailed Project Reports. Proposals are reviewed and approved through the State Investment Promotion Board, after which land is allotted on long term lease with applicable incentives. A streamlined approval system and dedicated nodal officers ensure timely clearances.
Most investments are concentrated in high potential regions such as Amaravati, Visakhapatnam, Vijayawada, Tirupati, Araku, Srisailam, Mantralayam, and coastal tourism hubs like Suryalanka. These locations attract steady tourist inflow throughout the year.
Looking ahead, the government has set a target of adding 50,000 hotel rooms by 2029. Projects in progress are expected to contribute nearly 31,000 new rooms and generate over 22,000 jobs. With structured planning and investor friendly policies, Andhra Pradesh is steadily emerging as a competitive hospitality and tourism destination.
