The construction of the Ram temple has not only transformed the religious landscape of Ayodhya but has also had a profound impact on the city's economy. Over the past five years, the influx of tourists and devotees has surged tenfold, creating new employment opportunities and significantly boosting local businesses. This rise in religious tourism has also resulted in substantial revenue generation for the government.
The total expenditure over the past five years stands at Rs 2,150 crore, with 18% tax paid to the government. “But there are other taxes in the form of royalty, insurance policies. With Ram ji ki kripa, the government has earned a hefty revenue from the construction of the Ram temple,” Champat Rai, Secretary, Shri Ram Janmabhoomi Teerth Kshetra Trust, said.
Rai disclosed that between February 5, 2020, and February 5, 2025, the Ram Mandir Trust contributed approximately Rs 400 crore in taxes to the government. Of this, Rs 272 crore was paid as GST, Rs 39 crore as royalty, Rs 7.4 crore allocated to the Labour Fund, and Rs 4 crore for insurance policies. Additionally, Rs 5 crore was paid to the Ayodhya Development Authority for land registration, map clearance, and revenue tax, while Rs 10 crore was spent on electricity bills. Stamp duty of Rs 29 crore has been paid on the purchase amount. The trust has also spent Rs 14.9 crore on royalty payments. The royalty has also been paid to the respective state governments from where the stone, ballast, and granite were sourced. The total expenditure over the past five years stands at Rs 2,150 crore, with 18% tax paid to the government.
The Uttar Pradesh Rajkiya Nirman Nigam has been awarded a Rs 200 crore contract for the construction of the Ram Katha Museum, the trust office, and a rest house. The 944 kilograms of silver donated by devotees have been converted into 20-kilogram silver bricks and stored securely in bank lockers.
"The construction of the Ram Mandir has not only strengthened the faith of millions but has also turned Ayodhya into a thriving religious tourism hub. The economic impact is unprecedented," said Champat Rai.
In the past year alone, over 16 crore devotees and tourists visited Ayodhya, with five crore devotees attending the court of Ramlala following the Pran Pratishtha ceremony. During an inspection by the Comptroller and Auditor General (CAG) about six months ago, the trust requested an economic analysis of Ayodhya.
Kamlesh Srivastava, president of the BJP's Ayodhya city unit, said the temple has emerged as a catalyst for the city’s economic resurgence, fostering a wave of growth that touches every sector, from small businesses to hospitality.
“The blessings of Ram ji have not only revived our faith but have also made people financially strong,” said Bhanu Pratap Singh, a local entrepreneur. “People who once relied on bicycles are now buying motorcycles, and some are even purchasing cars. It is a new Ayodhya, where prosperity is palpable.”
Maha Kumbh added to the bonanza
The Maha Kumbh 2025 further contributed to the surge, with four to four-and-a-half lakh people arriving in Ayodhya daily for darshan. Around 1.5 crore people visited Ramlala during this period.
Local shopkeepers and hoteliers have also witnessed a boom in business. "Our sales have doubled since the Ram Mandir construction began. Tourists and pilgrims are now staying for longer periods and spending more," said Ramesh Gupta, owner of a popular sweet shop near Hanuman Garhi.
Ananya Sharma, a local tour operator, said: "Ayodhya's transformation from a nondescript town to a bustling city gained momentum after the groundbreaking bhoomi pujan ceremony of the Ram Mandir on August 5, 2020. The subsequent development push has turned Ayodhya into a destination of both spiritual and economic significance."
Moreover, ten trains from the Kumbh Mela reached Ayodhya daily, carrying around 4,000 passengers per train. This brought approximately 40,000 to 50,000 visitors to Ayodhya each day.
The transformation is also visible in the infrastructure development. New hotels, guesthouses, and eateries have mushroomed, while roads and transportation facilities have improved significantly. "The city is becoming a spiritual and economic powerhouse," said an official from the Ayodhya Development Authority.
“The significant revenue generation from the Ram Mandir has not only enhanced the spiritual experience for devotees but has also strengthened infrastructure development and contributed to the government's revenue collection. The government is now planning to further develop Ayodhya as a global religious tourism destination,” UP’s Tourism Minister Jaiveer Singh told Moneycontrol.
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