Ladakh leaders request aid from Finance Minister as tourism plunges post-attack

A sharp decline in tourist arrivals following the Pahalgam terror attack has led key stakeholders in Ladakh's tourism industry to seek out urgent government intervention to revive the region’s economy.

Representatives from different delegations met up with Ms Nirmala Sitharaman

On her four-day official visit to Ladakh, Union Finance Minister Nirmala Sitharaman was met by various delegations, including representatives from travel, transport, and hospitality sectors, who submitted a memorandum requesting a special relief package.

Led by the Chairman-cum-Chief Executive Councillor of the Ladakh Autonomous Hill Development Council (LAHDC), Leh, Tashi Gyalson, the delegation highlighted the devastating economic impact the drop in tourism has had across the Union Territory.

Groups present included the All Ladakh Travel and Trade Alliance, All Ladakh Hotel and Guest House Association (ALHAGHA), All Ladakh Tour Operators Association (ALTOA), All Ladakh Transport Association (ALTA), merchant associations, taxi unions, and biker groups.

Among their demands were the rescheduling of existing bank loans, extension of moratorium periods, and recognition of tourism as a distressed sector.

The memorandum also called for the restoration of Ladakh’s budget to FY 2025–26 levels and urged that Budget Estimates and Revised Estimates be finalized based on expenditure up to December rather than September-October, due to Ladakh's short working season caused by harsh climatic conditions.

Sitharaman, who arrived on Saturday, also attended the light and sound show at Leh Palace and visited the iconic Shanti Stupa during her visit.

In a bid to counter the negative publicity and reassure potential visitors, Ladakh’s tourism stakeholders had recently launched a confidence-building campaign titled "Ladakh is Waiting."

Spearheaded by ALHAGHA, the initiative revolves around a touching three-minute film that portrays the emotional and economic toll the downturn has taken on the local hospitality industry, especially family-run homestays that are the backbone of Ladakh’s tourism ecosystem.

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