Finance Minister K N Balagopal on Saturday said the state budget allocation for the tourism sector has been increased by 20 per cent, as part of the government’s efforts to promote health and pilgrimage tourism in Kerala.

Balagopal said the increased allocation is aimed at attracting more high-spending domestic tourists from within the country, in addition to strengthening the sector in general. He added that the government is taking steps to position Kerala as a major health tourism hub.

Speaking after inaugurating the ‘Lokom Kothikkum Keralam’ Vision 2031 state-level tourism seminar organised by the Kerala Tourism Department at Marian College, Kuttikkanam, he said that the state’s focus on pilgrimage tourism, noting that ₹250 crore has been earmarked every season for the maintenance of roads leading to Sabarimala.

The minister also pointed to prospects for cruise tourism, international convention centres in major destinations, and other emerging opportunities. Balagopal announced that the process of providing startup-model financial assistance for hotel projects with investments up to ₹50 crore has reached its final stage. 

He emphasised that Kerala’s tourism sector must adapt positively to the rapid changes brought about by artificial intelligence. "Whether society likes it or not, AI is significantly influencing our daily lives and jobs," he said. "At this stage, soft skills like art and cooking—areas not impacted by AI—hold great potential. Tourism is the best sector to acquire and enhance these skills," he added.

During the event, Tourism Minister P A Mohamed Riyas presented the Vision 2031 policy document. Prepared by the state's tourism department and launched at a milestone workshop in Kuttikkanam, Vision 2031 lays out steps to provide infrastructural support for year-round tourism while pursuing sustainable and environment-friendly plans, a press release said.

Riyas, while describing the planning of tourist destinations as "very important", said several travel spots in the state are set to reach their peak soon. "On identifying such places in the next five years, we must upgrade them to international standards with cooperation from local communities," he said.

"Such planning should be assisted by modern technology such as AI. Easy tourism should be Kerala's USP on the tourism map. We plan to expand popular tourism in a way that strengthens local employment and the economy."

The minister said Kerala Tourism, as a global brand, competes with destinations worldwide. "Whether abroad or at home, there should evolve a situation where all Malayalis become brand ambassadors of Kerala Tourism," he said.

Water Resources Minister Roshy Augustine remarked that the government has successfully implemented a creative action plan in the tourism sector, contributing to the growth of the state's GDP.