New Delhi, Feb. 23 -- The demand in the Indian hospitality sector will outpace supply over the next three to four years, as the sector witnessed a sharp rebound post-pandemic and recorded a outstanding performance over the past three years, according to a report by Yes Securities.

"We believe the uptrend is likely to continue over the next 3 years, though the increase will be more gradual. This is because of sustained momentum in demand, which is expected to outpace supply growth. At an industry level, over FY24-29E, demand is expected to grow at a CAGR of 10.4 per cent vs. a supply CAGR of 9 per cent," the report added.

Explaining the rationale behind the optimism, the report added that the sector has experienced a significant post-pan...