Explained: Maha Kumbh and the multi-crore mela economy

Explained: Maha Kumbh and the multi-crore mela economy

FP Explainers January 13, 2025, 12:23:23 IST

Prayagraj is hosting the Maha Kumbh Mela. The 45-day religious gathering is expected to host 45 crore people. This will do wonders for the state economy, generating a revenue of Rs 25,000 crore for the state

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Explained: Maha Kumbh and the multi-crore mela economy
A sadhu prays on the day devotees take a holy dip at Sangam, the confluence of the Ganga and Yamuna rivers with the mythical, invisible Saraswati river, during the "Maha Kumbh Mela in Prayagraj, India. Reuters

The Maha Kumbh Mela is grander than ever. At least 60 lakh devotees took the holy dip on Day 1, January 13. Millions will throng the city for the gathering, concluding on February 26.

The Maha Kumbh, which is celebrated every 12 years, will give a big boost to Uttar Pradesh’s economy. While it is a religious event, the mela offers mega opportunities to businesses.

Let’s take a closer look.

Maha Kumbh 2025 is bigger than ever

The Maha Kumbh Mela is spread across 4,000 hectares, with a temporary tent city being erected.

As per a Times of India (TOI) report, the Uttar Pradesh government will spend an estimated Rs 7,500 crore to organise the mega religious event.

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As many as 45 crore pilgrims from India and around the world are likely to visit the Maha Kumbh. In 2019, the Kumbh Mela attracted 25 crore devotees.

“Compared to the 2019 Kumbh Mela, the Mahakumbh in 2025 is going to see a sea of over 40 crore pilgrims. Economic activity will begin from the time they step out of their homes, reach the sangam for the holy dip, and return home. Estimates peg the worth of economic activity to Rs 2 lakh crore,” KV Raju, economic advisor to the UP government, said at the Navbharat Times Samvad Conclave last month.

Sangam is the confluence of the rivers Ganga, Yamuna and Saraswati in Prayagraj.

maha kumbh
A general view shows the construction on the banks of river Ganges, ahead of the Maha Kumbh Mela festival in Prayagraj on December 18, 2024. AFP

The tent city in Prayagraj is illuminated with 67,000 streetlights. There are nine pucca ghats and 30 pontoon bridges. About 400 km of temporary roads are built, as per an Economic Times (ET) report.

The state government has made robust security arrangements by installing 23,000 CCTV cameras, and introducing AI-based surveillance and underwater drones.

There are 1.5 lakh toilets in the mela ground and 10,000 sweepers to keep these facilities clean.

According to ET, about 550 shuttle buses and 7,000 roadway buses will ply to improve the connectivity for pilgrims.

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Rail Minister Ashwini Vaishnaw earlier said that 13,000 trains, including 3,000 special ones, will run to accommodate Maha Kumbh devotees.

Boost to economy

The Maha Kumbh Mela is a big economic opportunity for various sectors, such as hospitality, transportation, tourism and retail.

The UP government is promoting the religious gathering, hoping it will give a fillip to spiritual and religious tourism.

“Mahakumbh 2025 is not just a spiritual gathering; it’s a massive economic engine. Our focus is on enhancing infrastructure, tourism, and job creation while ensuring a seamless experience for pilgrims,” Manoj Kumar Singh, chief secretary of Uttar Pradesh, was quoted as saying by Moneycontrol.

According to Kumbh Mela Nodal Officer Vijay Anand, the Maha Kumbh could generate Rs 25,000 crore in revenue for the state through taxes, rentals, and other charges.

The local economy is expected to significantly benefit from the religious congregation, with financial transactions ranging between Rs 2 lakh crore and Rs 3 lakh crore.

maha kumbh 2025
Devotees play instruments during the ‘Peshwai’ procession of ‘Shri Panch Agni Akhara’, which marks the arrival of ‘sadhus’ and other members of an ‘akhara’ or sect for the annual ‘Maha Kumbh Mela’, in Prayagraj, December 26, 2024. PTI

“The earnings of small-scale vendors, such as tempo operators, rickshaw pullers, flower sellers at temple sites, those selling memorabilia, boat operators, and even hotels, will contribute significantly to the local economy. The entire ecosystem around the Kumbh Mela is expected to experience a massive economic boom,” Anand told Moneycontrol.

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There are expectations that the Maha Kumbh could also be lucrative for nearby religious sites like Varanasi, Ayodhya, Mathura, and Vindhyavasini Dham.

In Decmeber, Prime Minister Narendra Modi launched development projects worth around Rs 5,500 crore in Prayagraj to improve the city’s infrastructure.

The Maha Kumbh will also spur job opportunities. As per the Uttar Pradesh Tourism Department, the preparation for the religious festival has already generated employment for 45,000 families.

The state government is also utilising the occasion to project an image of ‘Brand UP’, as per Business Standard. 

India Inc is reportedly ready to spend at least Rs 3,000 crore on branding and marketing at the 45-day Maha Kumbh.

“Our phones are ringing constantly with queries from both domestic and international companies. There’s overwhelming interest from FMCG, pharma, low-cost mobility providers, EVs and UPI gateways,” Raj Mohanty, vice president at Crayons Advertising, which enjoys ad rights for the Maha Kumbh, told ET recently.

“This being the largest religious gathering in the world, brands are trying to gain maximum traction,” Mohanty said.

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With inputs from agencies

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