Banikhet is located about seven kilometers from Dalhousie, India. Banikhet is an important place in Chamba district tourism. It is also known as the gateway of Chamba district. Transport is available for all major and minor tourist spots. Accommodation at low rates is also available. It is also known for the Historical Naag Mandir, Jawala Mata Mandir and Helipad.
Banikhet is situated in the Dhauladhar range of the Himalayas at an altitude of 5,500 feet (1,700 m) above the sea level. It has daytime temperature of 25 °C and the night temperature of about 15 °C during summers.
Banikhet also possesses a number of tourist attractions that attract tourists from the different parts of the world. Moreover, with the establishment of the NHPC ltd's Chamera Hydro-Electric Project, residential and official buildings, it has attained prominence.