During the “U.P. Global Investor Summit 2023” hosted in Lucknow, Uttar Pradesh on February 11, 2023, Hotel Management International Co., Ltd. (abbreviated as HMI Hotel Group, headquartered in Nihonbashi, Chuo-ku, Tokyo) announced that they have reached a basic agreement with the Uttar Pradesh (U.P.) state government regarding hotel development projects in the region.

Under this basic agreement, HMI Hotel Group will undertake the development of 30 chain hotels and acquire existing state-owned hotel businesses in saturated business and tourist destinations, in conjunction with the state of U.P.’s economic and tourism growth plans.

The overall investment expenditure is approximated at around 130 billion yen (around USD 1 billion), and is projected to create around 10,000 job opportunities.

In July 2021, the ceremony for the completion of the Varanasi International Cooperation and Convention Centre was held in Varanasi, Uttar Pradesh, and was constructed with the assistance of the Japanese government’s Grant Aid. The ceremony was attended by Prime Minister Modi, and included a video message from Prime Minister Suga on behalf of Japan. This grand event also celebrated the basic agreement between the Uttar Pradesh state government and Hotel Management International Co., Ltd., involving an investment of 130 billion yen for the development of 30 hotels.

The convention centre serves as a symbol of friendship between India, Uttar Pradesh, and Japan.

To reach Prime Minister Modi’s vision of developing India into a $5 trillion (630 trillion yen) economy, Uttar Pradesh aims to become a trillion-dollar (130 trillion yen) economy by hosting economic summits and incorporating regulatory ease and tax incentives to attract business investments worldwide. Japan participated as a partner country in the summit, with representatives from both the Indian Embassy of Japan and Japanese companies attending. The economic summit saw the participation of leaders from political and business sectors from 80 countries worldwide, including major investors. This summit aimed to elevate India’s economic ranking from 5th to 3rd on the world scale. Prime Minister Modi personally showcased the potential of various sectors, and the Ministry of External Affairs actively disseminated information about investment opportunities of these sectors.

Prior to this summit, a business meeting on investment opportunities in India was held in Tokyo on December 6, 2022. The Confederation if Indian Industry (CII) organized this event in cooperation with the Embassy of India and JETRO (Japan External Trade organization). This summit served as a follow-up after the business meeting between Prime Minister Kishida and Prime Minister Narendra Modi of India, which took place in New Delhi in March 2022.

With the expected economic development in the country, HMI Hotel Group anticipates the increase of the middle-class, as well as growth in the number of people seeking business and tourism from both domestic and international sources. Uttar Pradesh, in particular, is blessed with significant world-famous tourist destinations such as Agra, Varanasi, and Ayodha. With the increase in construction of airports, roads, and other infrastructure, as well as the economic development plans covering over 20 sectors, the flow of business and tourism to Uttar Pradesh is expected to see significant growth. With this outlook, HMI Hotel Group plans to develop upscale hotels, including those of luxury, in these locations to support the essential needs of the hotel industry and to contribute to the growth of Uttar Pradesh.