Mahakumbh was held in Prayagraj, India and was attended by an estimated 120 million people

Raghunath Mahapatra

In their research paper titled ‘Socio-Economic Dimension of Kumbh Mela, 2013 and the Organizational Aspect of It; A Study’ (published in the ‘International Journal of Management’ in May 2014) Sanatan Srivastava and Ajeet Kumar Rai noted that in 2013 Kumbh Mela the local administration has raked in $2.2 billion on an investment of around $220 million. They also noted that about a million foreign tourists have come to oversee and enjoy the festival, which lasted from January 14 to March 10, 2013.

The festival was held in Prayagraj, India, and was attended by an estimated 120 million people: that’s about the size of Japan and about 40% of the population of the USA at that time. Further, it’s estimated that the 2019 Kumbh Mela in Prayagraj (which is called ‘Ardha Kumbha’ was attended by 240 million people which was around 75% of the population of the US (328. 3 million) in 2019. These facts and figures made this festival one of the largest gatherings of people in history for a religious purpose; to take a holy dip in the holy river at the most auspicious time. This is widely understood to be the world’s largest peaceful gathering of people for a religious purpose.

Mega Event
This largest religious congregation is celebrated at a span of every 12 years at four locations in India (Prayagraj, Haridwar, Ujjain, and Nashik) and the date is based on the positions of the Sun, Moon, and Jupiter. Ardh-Kumbh is celebrated every six years in Prayagraj and Haridwar. Curiously, even though this mega event has been celebrated since time immemorial there have been sporadic efforts to understand what such a statistics-defying event does to the local, the state as well the nation’s economy.

In his seventh-century writings, Chinese traveler Xuanzang documented this convergence of faith and commerce at the Kumbh Mela, where rulers and wealthy merchants are said to have bathed in the sacred waters and offered lavish donations. That spirit of enterprise has lived on in the modern version of the 40-day event, attracting businesses from across India and transforming this stretch of the Ganga into a sprawling arena of spirituality and trade.

This year, this largest and most sacred mass festival of Hindus, which is undoubtedly the world’s biggest gathering of humans, has started on January 13, 2025, at Prayagraj on Paush Purnima with the ‘Shahi Snan’, a bathing ritual. While the 45-day religious event is considered a rare occasion for spiritual growth, it’s also known for its pomp and show, with thousands of religious gurus and saints as well as crores of devotees congregating for a dip in the sacred waters.

This Maha Kumbh of 2025 has a budget of around Rs. 7,500 crore in which the state’s share came to Rs. 5,400 crore and the Centre’s, Rs. 2,100 crore. The administration estimates that about 40 crore people may visit the Maha Kumbh festival and that’s more than a fourth of India, visiting a temporary district over just 45 days: close to 90 lakh people on average every day. And it’s expected that they may enrich the Indian consumer business with an estimated Rs. 2 lakh crore in spending. The simple calculation is that if each of the people is expected to spend Rs. 5000 then the total spending with estimated 40 crore people will touch Rs. 2 lakh crore. Some other estimation also claims that per person expenditure in the festival may go up to Rs. 10, 000 on average and the total economic impact could reach up to Rs. 4 lakh crore. It is also expected that the country’s nominal and real GDP may get a boost of 1% due to this huge amount of spending in Maha Kumbh.

Kumbh Economics
This festive celebration will be the most visible part of a big driver of India’s economy, the festival cycle. According to the Confederation of All India Traders (CAIT), 80% of visitors are likely to incur between Rs. 6,000- Rs. 8,000 each. Such expenditure would produce financial transactions in the range of Rs. 2–Rs. 2.5 lakh crore ($25–30 billion) over the 45-day event, which translates to about 0.8% of India’s GDP. The organization also claims that the event is expected to generate a turnover of Rs. 25,000 crore from the festival sites; where the key contributors include puja items worth Rs. 5,000 crore, dairy products valued at Rs. 4,000 crore, flowers accounting for Rs.800 crore, and the hospitality sector producing around Rs. 6,000 crore. These figures illustrate the vital role played by local and small-scale industries in driving economic activity during this year’s Kumbh festival.

The economic magnitude of this 2025 Maha Kumbh is said to be the highest, with 60% similarity with the marriage and Diwali expenses India incurs per year. While the Christmas season in Western countries and shopping festivals such as Singles Day in China are equivalent to Indian festival consumption, they pale in comparison to the influence Indian festivals hold on consumer goods sales because they are so numerous and occur all year round. From FMCG companies to luxury car makers, all eye the festival season for a bump in sales.

Devotion & Commerce
It’s said that the economy of our country is deeply rooted in cultural and festive traditions, driven by tenets of Sanatan/Hindu economics, which is defined as an economic model that considers the ethical, societal, and moral context of economic activity. Unlike Western economic models, which often predict recessionary cycles, India’s cultural and religious festivals -such as local hats, melas/fairs, various other regional day-long and month-long festivals, and the Kumbh Mela-continuously rejuvenate economic activity. Historically, mobile fairs and markets have driven India’s economic growth by integrating commerce, spirituality, and social interactions.

As highlighted by an analytical paper from Axis Bank: private consumption drives around 70% of the GDP growth of our country. India’s consumer market is expanding rapidly and is projected to become the third largest globally by 2030. Massive religious events such as Maha Kumbh 2025, widely regarded as one of the world’s largest gatherings, reflect these consumption trends. Collectively, these consumption expenditures boost local and regional economies on an unprecedented scale.

The Maha Kumbh 2025 combines devotion and commerce at the highest scale and creates a marketplace where spirituality meets economic growth. Its massive scale offers businesses a unique opportunity to thrive while catering to millions of pilgrims. The sheer economic scope of the Maha Kumbh eclipses virtually all other global events.

(The writer is a former Senior Project Associate, HSS Department, IIT Kanpur. Views expressed are personal.)

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