Jammu and Kashmir State has a tremendous potential to become a major global tourist destination. Importance of tourism in J&K economy is known for decades now and its role in economic development has been an area of great interest from policy perspective. To understand the economic impact of tourism in the J&K state, present paper uses secondary sources of data and tries to examine various parameters of economic development such as tourist inflow, employment generation, State Gross Domestic Product, development of infrastructure and regional development. We found apart from agriculture sector, tourism sector is the most popular source of income and employment generation for the state economy.
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