HP Tourism Capital Investment Subsidy

The Capital Investment Subsidy forms part of the Himachal Pradesh Tourism Policy 2019. It provides financial support for capital expenditure in the state's tourism sector.

The subsidy applies to the setting up of new tourism units and to the expansion of existing ones. It covers convention centres, hotels, resorts, golf resorts and wellness tourism units, and is available to both local and external investors. Support is directed at projects in designated Category 'A' areas.

Through these incentives, the scheme is intended to draw investment into tourism infrastructure, generate employment and contribute to economic growth in Himachal Pradesh.

Under the Himachal Pradesh Tourism Policy 2019, an applicant normally files a detailed project proposal, a business plan and evidence of fixed capital investment with the designated authority. Registration of the unit, the requisite permits and licences, and proof of adherence to the policy guidelines are also expected of applicants. Once the initial screening is complete, a committee examines the application together with the investment particulars, and the subsidy is sanctioned thereafter.

Eligibility rests on three considerations: whether the project conforms to the Tourism Policy 2019, the size of the fixed capital investment, and the type of tourism unit proposed. A committee drawn from the Department of Tourism and other concerned government bodies then reviews each application, weighing its eligibility and likely impact, and recommends those it finds suitable for subsidy approval.