The latest terror attack in Pahalgam has given a deadly blow to Kashmir Tourism, wrecking its reputation as a serene retreat and favorite holiday destination. Militants attacked tourists in this picturesque district on April 22, 2025, killing 26 and injuring several others.
Famous for its serene valleys and stunning beauty, Pahalgam is now the site of horror. The attack undermines Prime Minister Narendra Modi’s efforts to boost Kashmir Tourism and turn the region into an economically resilient tourist hub.
Modi’s Tourism Vision Faces Major Setback
Under Narendra Modi’s leadership, Kashmir saw a tourism boom. The government worked to improve infrastructure and security, which attracted millions of visitors. In 2024, Kashmir welcomed a record 3 million tourists, compared to just 831,000 in 2018. Modi’s administration showcased this success as one of its key achievements.
The current attack, nonetheless, has come to interrupt such progress. Following reports of violence, tourists moved to vacate Kashmir. A rush for return flights created temporary shortages, thus a hike in ticket prices that saw the government step in and order airlines from overcharging clients.
Crippling Blow to Domestic Economy
The attack severely impacted the tourism industry. Local businesses, including taxi services, hotels, and shops, now face significant losses. Shakir Ahmed, who manages a taxi union in Pahalgam, said all 30 of their vehicles are sitting idle. “The streets are suddenly empty,” he added. “We’re losing everything.”
Tourism businesses reported massive cancellations, especially with the busy summer season about to begin. A local travel agent revealed they had to cancel 90% of upcoming bookings. The loss of revenue will have lasting effects on the region’s economy, which relies heavily on tourism.
Effect on J&K’s Whole Tourism Economy
The effect of this attack goes beyond Pahalgam. Tourism is the economic backbone of Jammu and Kashmir, and a huge section of its people depend on tourism-related businesses and employment. The state had achieved great progress in overcoming the period of violence and instability, and record numbers of tourists were pouring into the valley.
But with this latest attack, there is indeed a fear that the tourist influx will slow considerably. With tourists cancelling reservations and refusing to visit the area, other tourist areas such as Srinagar, Gulmarg, and Sonmarg could also be adversely affected.
All the tourism-related industries—hotels, travel operators, and local craftsmen—will take a hit, exacerbating the economic woes of the region.
Modi’s Kashmir Vision in Jeopardy
Modi’s goal of transforming Kashmir into a thriving tourist hub now faces a major challenge. Despite improvements in infrastructure and security, the attack has reminded everyone of the region’s vulnerability. It also raises questions about the government’s decision to revoke Jammu and Kashmir’s special autonomy in 2019. Despite claims of stability, the region continues to suffer from violence.
This tragedy raises questions about the government’s capacity to provide the peace and security required to bring in tourists and investors alike. Kashmir’s image as a peaceful tourist paradise now stands in jeopardy.
Restoring Trust and Security
To recover, the government needs to put security first and rebuild public confidence. Tourists should feel secure, and residents should experience visible benefits to their lives. The government needs to move swiftly to avoid more attacks and get the population safe.
Kashmiris have proved that in the midst of adversity, they remain resolute. In spite of the attack, hospitality remains a way of life for many. Local legislator Sajjad Lone denounced the assault, emphasizing that the welcome culture must continue in Kashmir.
Although the attack has put the valley into mourning, it also reflects the resilience of the people here. Kashmir’s focus on tourism and its economy, which are at stake, rely on the restoration of security and trust.
