In Uttar Pradesh, 122 crore devotees reached the development of religious places under the temple economy model. Hotels, MSMEs, handicrafts and local businesses got a boost in many cities including Ayodhya, Kashi and Prayagraj, which gave a new impetus to the economy of the state.
Lucknow. In the last few years, religious tourism in Uttar Pradesh has not been limited to faith alone. It has now become a strong model to boost the economy of the state. The ‘Temple Economy Model’ developed under the leadership of Chief Minister Yogi Adityanath has shown that if religious places are developed in a planned manner, then faith, tourism and local business can be promoted simultaneously. The government has improved the infrastructure of ancient temples and pilgrimage sites and connected them with modern facilities. Due to this, the number of devotees has increased and the local people have also got economic benefits.
Temple Economy Model: Religious tourism increased due to infrastructure development
Extensive development work has now taken place at many religious places which were neglected earlier. Widening of roads, beautification of ghats, better parking arrangements, cleanliness, lighting, security and modern passenger amenities—all these have improved the experience of devotees. The result of this is that there has been a record increase in the number of tourists and devotees coming to Uttar Pradesh. More than 122 crore devotees and tourists visited the state last year. This figure is a proof of administrative capacity and better management. Religious tourism has now become a strong pillar of the state’s economy.
Ayodhya, Kashi, Prayagraj: Economic transformation of major religious cities
The development of Shri Ram Janmabhoomi complex in Ayodhya and construction of grand infrastructure has given it global recognition. Development of Kashi area, revival of ghats and better facilities in Varanasi have given new heights to tourism. The development of Sangam area in Prayagraj and successful conduct of big events like Mahakumbh and Magh Mela shows the success of this model. The important thing is that this development was not limited to big cities only. Even in small religious towns like Mathura, Chitrakoot, Naimisharanya, Vindhyachal, there has been significant growth in the local trade and service sector due to the development of infrastructure.
Ayodhya Economic Growth: Historic surge mentioned in IIM Lucknow Report
According to a report by IIM Lucknow, a huge surge in economic activities was seen after the consecration of Ram temple in Ayodhya. The arrival of crores of devotees gave new energy to the hotel, transport, construction and service sectors. More than 150 new hotels and homestays started. Thousands of MSMEs became active and business in local markets increased manifold. There was a significant increase in the income of small shopkeepers and street vendors. The real estate sector also gained momentum. The international airport, modern railway station, better roads and beautification of the city—all these have established Ayodhya as a well-established religious-tourism centre.
Local Economy Boost: Benefits to hotels, handicrafts and MSME sectors
With the increase in facilities at religious places, the number of devotees increased and along with it the demand for local products also increased. Handicrafts, Prasad industries, hotel-guest houses, transport, restaurants, guide services and small traders directly benefited. Thousands of youth got direct and indirect employment. Sales of products of self-help groups and local artisans have increased. The concept of ‘Local to Global’ has been strengthened. This has given new life to the rural and semi-urban economy.
Faith to Economy Model: Coordination of Faith and Development
This model is based on the idea that faith and economy can complement each other. The holistic development of religious places preserves the cultural heritage and also opens the way for regional development. Today, along with religious tourism, hotel industry, real estate, transport network and digital services are also witnessing growth in Uttar Pradesh. Better law and order and successful events have increased investor confidence.
Urban Development Budget 2026: Provision of ₹26,514 crore
The state government has made a provision of ₹26,514 crore for urban development in the recent budget. This is not limited to just construction work, but is part of a long-term economic strategy. Steps like Kashi-Vindhya Regional Development Authority and the proposed development of Prayagraj-Chitrakoot region are towards converting cultural geography into economic geography. Rampath, pilgrimage beautification and expansion of tourism facilities are laying a strong foundation towards making religious places permanent economic centres.