It is a popular tourist destination and hill station. Its lush green meadows and pristine waters attract thousands of tourists from all over the world each year. It
99km from Srinagar on the banks of Lidder River at an altitude of 7,200 feet (2,200 m). Pahalgam is the headquarters of one of the eleven tehsils of Anantnag district.

Pahalgam is associated with the annual pilgrimage to the shrine Amarnath Yatra. Chandanwari, located 16 kilometres (9.9 mi) from Pahalgam. The town is the starting point of the yatra that takes place every year in the months of July–August, receiving hundreds of thousands of tourists. Because of its religious significance and role as a base camp, the town attracts 70% of visitors to the valley. This flood of tourists overwhelms some of the local infrastructure, especially waste management in the town.