The hospitality industry is the sector of the economy, largely determining the attractiveness of any territory for both guests and residents. A developed hospitality industry, combined with the availability of tourist resources, is one of the factors in the welfare of a country, region or city. Belgorod city has a variety of tourist resources, but real tourist flows indicate insufficient use of the tourist potential of the city. This determines the relevance of the study of the state and dynamics of the development of the hospitality industry in the city of Belgorod. Based on official statistical data, the article assesses the two most important sectors of the hospitality industry: catering and hospitality businesses. The authors reveal the most significant trends in the development of catering and hotel business in the city of Belgorod and determine the problems that limit their effective development. The article provides the main directions of development of the catering and hotel business in the city of Belgorod. The implementation of the proposed measures will allow improving the quality and safety of catering and hotel business services, the culture of consumption, and creating decent working conditions for the employees of the hospitality industry in the city of Belgorod.