An Intervention of Microfinance in Tourism Sector: An Emerging Country Perspective


  • Saklesh Nagouda CHRIST (Deemed to be University), Bangalore.


Tourism, Micro Finance, Poor, Poverty Reduction, Emerging Countries, Responsible Tourism


India is having a tremendous potential for the development in the tourism sector for the world with huge heritage attractions. India is regarded as 2nd fastest growing tourist market globally. To meet its potential, it needs variety of funding in the form of unique set of financial products, services such as long-term and short-term credit, investment subsidies, supporting tax policies, lease financing & insurance products which could be taken care by commercial banks and Micro Finance Institutions (MFIs) that play a crucial role in providing innovative financial products and services in promoting livelihood in tourism destinations.  Micro-Finance Institutions have an ability to create a positive impact on the development of tourism industry, particularly in emerging countries. Over the years, micro-finance as well as tourism sectors have been promoted independently, which have contributed towards poverty reduction worldwide. Thus, there is high positive association between opening up of economies and poverty alleviation through financial inclusion achieved largely contributed by micro-finance institutions. Microfinance being raised within the tourism sector to lend to the micro business owners of tourism industry is an innovative approach.  The tourism sector would get a further boost in terms of access to commercial capital   to deliver the goods & services through the creation of better tourism infrastructure resulting in attracting greater no of tourists, for the sustainable growth creating win-win situation for microfinance institutions and tourism-oriented businesses including other stakeholders.

Author Biography

Saklesh Nagouda, CHRIST (Deemed to be University), Bangalore.

School of Business & Management, CHRIST (Deemed to be University), Bangalore, Karnataka, India.


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Websites:,new%20technology%20and%20financial%20services%2C 9-10



How to Cite

Nagouda, S. (2022). An Intervention of Microfinance in Tourism Sector: An Emerging Country Perspective. Atna Journal of Tourism Studies, 17(2). Retrieved from