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Post Pahalgam attack, Kashmir’s tourism sector remains in deep crisis

Declining visitor numbers continue to devastate vital industry

LCT Desk by LCT Desk
September 25, 2025
in Top News, Tourism
Reading Time: 3min read
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Rehan Qayoom Mir

Srinagar, Sep 24: Five months after the deadly terror attack in Pahalgam on April 22, Kashmir’s tourism sector, a key pillar of its economy, continues to reel from its worst crisis in decades.
The attack that killed 25 tourists and a local resident not only shook the valley’s sense of security but also triggered a cascading economic fallout, the effects of which are still being felt across hotels, transport, handicrafts and thousands of livelihoods tied to the industry.
As per the details, the timeline from tragedy to struggle is as follows.
April 22, 2025 – The attack
A terror strike in the Baisaran meadows of Pahalgam claimed 26 lives, sending shockwaves through Kashmir’s tourism industry at the onset of the spring season. Within hours, tourists fled in panic, mass cancellations followed, and businesses faced immediate losses.
Late April – Immediate fallout
Security was tightened across major tourist sites, and 48 of 87 tourist resorts were shut as a precaution. Hotel occupancy nosedived to 5–10%, bookings were wiped out, and thousands of people dependent on tourism — from pony handlers to taxi drivers — were left without work.
May – Desperate push for revival
The government and stakeholders launched campaigns to restore visitor confidence. Security patrols were increased, and political leaders visited key sites. Despite discounts and incentives, footfall remained weak as fears persisted.
June – Partial reopening
In the month of June, after over three months, authorities reopened 16 of the closed resorts, offering hope to struggling businesses. Occupancy rose slightly but remained far below seasonal norms, forcing hotels and travel operators to offer steep discounts.
July – A fragile summer season
The annual Amarnath Yatra was held under heavy security, helping project a semblance of normalcy. Domestic tourists from states like Gujarat and Maharashtra slowly returned, yet foreign arrivals remained negligible, and overall numbers stayed far below 2024 levels.
August – Nature’s fury adds to the crisis
In mid-August, a cloudburst in Kishtwar’s Chositi village triggered flash floods and landslides, causing extensive damage to infrastructure and affecting local travel. Ongoing landslides and road disruptions across the region hindered tourist movement, prompting cancellations and travel delays.
Tourism stakeholders said the combined impact of the natural disaster and the lingering effects of the Pahalgam attack further strained the sector, deepening the economic crisis.
Adding to the crisis, in August, landslides and rockfalls temporarily closed the Jammu-Srinagar National Highway, disrupting tourist travel and forcing cancellations, further straining the region’s struggling tourism sector
September – Five months on, shadow persists
The sector continues to struggle. Only around 9,000 tourists, including 400 foreigners, visited in the first half of September — compared to over 1 lakh during the same period last year, as revealed by BJP spokesperson Manzoor Bhat on September 15.
The economic fallout
Tourism, which contributes significantly to Jammu and Kashmir’s GSDP, has seen a sharp contraction. Hotels, houseboats, transporters, artisans and small vendors remain deeply affected.
The government continues efforts to rebuild confidence with safety assurances, promotional campaigns, and financial incentives.
Mushtaq Ahmad Chaya, Chairman of the Jammu and Kashmir Hotels Club, said hotel occupancy in the Kashmir Valley has dropped severely, with only 10 per cent of hotels currently occupied. “Losses cannot be estimated as hotels all over the valley suffered losses,” Chaya said.
He said the Pahalgam attack has cast a shadow over the valley’s tourism. “The Chief Minister, Prime Minister and others are pushing hard for revival of tourism, and we hoteliers are also requesting LG Manoj Sinha and the administration to reopen the closed tourist sites and let us show people that normalcy prevails here and that they can come,” he said.
Recently, the famous shikaras of Dal Lake — often referred to as the “floating taxis of Kashmir” now lie idle, their vibrant canopies fading under the sun.
With tourists vanishing after the April 22 Pahalgam attack, the men who rowed them for generations are being pushed to desperate choices.
Wali Mohammad, President of the Shikara Association Kashmir, told KNO that many owners have been forced to abandon the lake.
“Shikaras have been our identity, our lifeline. Today, the same boats float empty. Many owners are now running small shops, pushing carts, or doing gig work because they too have to feed their families,” he said.

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