Economy

Anna Salai, Street bazaar, with Mount Perumalmalai in distance

The economy of Kodaikanal is predominantly run by tourism.^[11] The town's infrastructure changes every year in preparation for the peak tourist season. Major roads are converted into one-way lanes to regulate the constant inflow of traffic and special police are brought in for the safety of the tourists and protection of local businesses. Hotels are often fully booked during the high season, and remain virtually empty during the off-season. Due to the rapid development of nearby city such as Madurai, the town is starting to enjoy year-round tourism.

There are at least 50 hotels catering to all categories of tourists^[12] and over 30 south & north Indian, continental, western and Chinese restaurants, and many more small eateries and tea stalls.

A waterfall enroute Kodaikanal

There are at least six retail bank branches and five automated teller machines (ATM) in Kodaikanal. The Bank of India has a branch and ATM at S.G.J Thangadurai Building, Anna Salai. The Canara Bank has a branch and ATM at CLS book shop complex, Anna Salai. The Central Bank of India branch is at M M Street, Law's Ghat Road, Perumalmalai. The Indian Bank has a branch and ATM at Anna Salai. The State Bank of India has a branch at Anna Salai and also has an ATM on Lake Road, outside Kodaikanal International School ^[13]. The Union Bank of India has a branch at Naidupuram and also has an ATM on the 1st Floor of Municipal Shopping Complex opposite the Old Bus Stand, Anna Salai.^[14],^[15]

The Kodaikanal Co-operative Land Development Bank, The Kodaikanal Co-operative Urban Bank at Anna Salai and the Madurai District Central Co-operative Bank at Post Office Road offer only local Commercial banking services.^[16] There is an excellent bazaar where residents, local villagers and tourists come buy woollen clothing, flowers, fresh grocery, meat, handicrafts, hot snacks, cheap toys, medicinal herbs and oils, hardware, dry goods and cooking fuels. The cosmopolitan nature of Kodai is evident on Anna Salai, the main business street, where it is common to see local villagers, European and American students and backpackers, foreign retirees and families from other parts of India, all mixed together in their common activity of shopping.

Plums, pears, chillies, carrots, cauliflower, cabbage, garlic and onions are cultivated by terrace farmers in surrounding villages.^[17] Most are trucked to other parts of India and some are sold in the local market. Popular tourist souvenirs include handicrafts, home-made chocolates, postcards and Eucalyptus oil.^[11]

Health

The three major medical facilities are the Kodaikanal Health and Medical Services (KHMS), Van Allen Hospital and the Government Hospital. These hospitals treat patients with common ailments and injuries and perform child delivery and care, but are not equipped with modern medical equipment for complicated diagnoses and surgeries.

KHMS is a mordern hospital and is well suited for the basic needs of the people, including child delivery. The local residents and those from the nearby villages, do not have to travel down to the plains, thanks to KHMS. KHMS is an integrated hospital, wherein both mordern medicine as well as other forms of medicine are practised, this includes, homeopathy,reflexology, reiki, cold pack treatment, spinal bath, naturopathy, murma (diagnosis through the pulse). KHMS offers x-ray (radiology); sonography (ultrasound); pathology laboratory, pharmacy, OT, OPD. KHMS has a mordern dental clinic as well.

In April 1915, Dr.Van Allen raised funds to construct the first unit of the hospital at the entrance of Coaker's walk. It was named after him. Facilities got updated from time to time and now it has X-ray machine, well equipped pathological lab, and operation theatre with blood transfusion facilities.

Government Hospital is situated on the hillside near Rock cottage on lower shola road. It was a small municipal hospital until 1927. Now it has X-ray, Dental, Maternity ward and other facilities.^[18]

Air and water-borne mercury emissions have contaminated large areas of Kodaikanal and surrounding forests. A study conducted by the Department of Atomic Energy confirmed that Kodaikanal Lake has been contaminated by mercury emissions.^[19],^[20]