India received approximately 9.95 million foreign tourists in 2024, significantly less than global counterparts like Paris. While domestic travel and demand for luxury accommodations are booming, driven by a growing middle class and digital discovery, the tourism sector's growth is hampered by regulatory hurdles. Investors face a complex system of central, state, and municipal permissions, creating uncertainty and slowing hotel development. This regulatory architecture, rather than consumer demand, is identified as the primary obstacle to India's tourism potential.