Skyrocketing Hotel Tariffs Ahead of India AI Impact Summit

The hospitality sector sees soaring hotel room rates in Delhi due to the upcoming India AI Impact Summit. Standard rooms in top hotels are mostly sold out, leading to price hikes. Luxury and suite categories reflect especially high prices amid increased demand from the summit, weddings, and cricket events.

Representatives from the hospitality sector met with Tourism Minister Gajendra Singh Shekhawat to address concerns over steep hotel room prices ahead of the India AI Impact Summit in Delhi from February 16 to 20. The Hotel Association of India (HAI) confirmed the meeting amid reports of skyrocketing tariffs.

With an overwhelming demand driven by the AI summit, wedding season, and the T20 cricket world cup, many standard rooms have already been booked. This demand has caused a marked escalation in room rates, particularly for last-minute bookings, industry insiders revealed. Reports of Rs 25-30 lakh for luxury suites, which offer multiple rooms, have stirred conversation.

The HAI clarified that pre-contracted bookings for the AI Summit at some hotels ranged between Rs 10,000 and Rs 12,000. Yet, during the summit, average room rates were seen between Rs 40,000 and Rs 60,000 nightly. The association noted that high demand combined with a limited inventory naturally leads to elevated tariffs, especially for luxury categories.