Pakistan in general and Khyber Pakhtunkhwa (KP) in particular, blessed with immense tourism potential, have also been endeavoring to fully capitalize on this potential despite the security challenges faced by the country. While the province of Khyber Pakhtunkhwa has three fourth of the country’s tourism assets, with sites representing archeological, cultural, historical and religious significance and attractive natural and scenic beauty, the province has also been facing severe conflict and security challenges. This calls for a renewed effort on government’s part to come up with innovative solutions to promote tourism in the province and facilitate investment in the sector. The tourism sector in KP has been facing a host of challenges that have been impeding growth of the sector in KP. Some of these challenges are cross-cutting, affecting the overall economy such as the sluggish economic growth, unclear policy and institutional regime in the wake of 18th constitutional amendment, poor law and order situation and low public sector capacity to facilitate and regulate private sector. On the other hand, there are also some serious sectorspecific issues affecting tourism sector such as limited availability of information to monitor travel and tourism trends preventing planning; low quality of workforce; low level of private investments; absence of standards; poor infrastructure; limited and sub-optimal marketing activities, etc.