The manager, Deepak Vishwakarma, told the police that he raped the 23-year-old student on January 14.
The student, who is in India on tourist visa was on a visit to the national park, has alleged that her drink had been spiked following which she was raped. She had been staying at a resort owned by the son of a BJP MLA from the state.
The girl filed the complaint in Aurangabad, Maharashtra after more than two weeks. Inspector Prakash Kulkarni, from Aurangabad, said she was traumatised and hesitant in reporting the case immediately.
The police, along with the student, reached Bandhavgarh on Friday night and arrested the manager who admitted to the heinous crime. The South Korean student will undergo a medical test today to confirm rape.
Mr Kulkarni said the case had been transferred to his counterparts in neighbouring Madhya Pradesh.
The incident comes on the heels of the brutal gang-rape of a student in New Delhi on December 16 last year that has triggered an outpouring of criticism of the police and inadequate safety for women in Indian society.
As many as 24,206 rape cases were reported in the country in 2011 although activists warn these statistics are a gross under-representation due to the social stigma attached with such crimes.
Travel advisories by the US and other foreign embassies warn women not to travel alone in India, saying they are "at risk and should exercise vigilance".
(With inputs from AFP)