This paper studied the association between tourism sector development, FDI flows to the tourism sector and real economic growth in India for the period 2000 to 2018. The findings support the occurrence of the tourism-led growth hypothesis in India. But we did not find any significant impact of FDI flows to the tourism sector on the economic growth in the country. Such a finding may be due to the low quantum of FDI equity flows to hotel and tourism sector in India. It is recommended that the policy circle in the country should focus on tourism sector development and its promotion in the international market.