Capital Investment Subsidy for Creation of Infrastructure
Tourism Department, Government of Madhya Pradesh · Central government
Madhya Pradesh offers private investors up to ₹3 crore in capital subsidy to develop essential tourism infrastructure on leased land or heritage assets.
Open, rolling. Applications are accepted continuously — there is no deadline.
Key facts
- Subsidy amount
- ₹12,50,000 – ₹3,00,00,000
- Instrument
- Subsidy
- Deadline
- Rolling
- Disbursement
- Reimbursed after spend
About this scheme
The Tourism Department, Government of Madhya Pradesh, introduced the "Capital Investment Subsidy For Creation Of Infrastructure" scheme, which the Madhya Pradesh Tourism Board administers. Its main aim is to draw private investment into tourism infrastructure that is critical to the state. The scheme covers land and heritage assets taken on lease from the Tourism Department, and applies to the development of facilities such as power supply, water supply, approach roads, sewage and drainage systems.
Through financial incentives to private developers, the scheme seeks to improve Madhya Pradesh's tourism landscape. By meeting part of the fixed capital investment, the government lowers the financial load on investors, which in turn encourages more projects that add to the state's tourism infrastructure.
Such support matters for building quality tourist facilities and for making heritage sites easier to reach, which helps tourism and local economies.
Who can apply
- Eligible business forms
- Private limited company, Limited liability partnership, Sole proprietorship, Partnership firm
- Udyam registration
- Not specified
- MSME registration
- Not specified
- DPIIT startup recognition
- Not specified
- GST registration
- Not specified
- Where the business may be based
- Madhya Pradesh
- Applicant must be a private investor or entity setting up a tourism project. - Land or heritage assets must have been obtained on lease from the Tourism Department. - Infrastructure — power supply, water supply, approach roads, sewage and drainage systems — must be developed on the acquired assets. - Capital expenditure of at least ₹50,00,000/- (as approved by the department) must be incurred. - The tourism project must be established and made operational within the operative tenure of this policy. - Investment Promotion Assistance cannot be claimed alongside this capital subsidy.
How to apply
- **Step 1: Register on the Portal** - Go to the Madhya Pradesh Government's Invest Portal (https://sws.invest.mp.gov.in/) and begin registration by choosing the "Vendor / Investor" category. - **Step 2: Enter Basic Information** - Complete the basic information section by picking the relevant "Type of Organisation" (for example, Public Limited Company, Private Limited, LLP, Proprietorship Firm, Partnership Firm, Cooperative, Trust, FPO, or Individual). Provide the "Firm/Company Name" and "Authorized Person Name" so the entity's identity is established. - **Step 3: Provide Contact Details** - Give a valid email ID and mobile number, which will be used for all communications, including the Application Number, User ID, and password. - **Step 4: Submit the Form** - Finish submitting the basic registration form. A User ID and password will be generated and sent to the mobile number you registered. - **Step 5: Update Your Profile** - Use the User ID and password you received to log in to the portal. Complete the full registration process by updating your profile before going ahead to apply for the scheme. - **Step 6: Implement the Project** - Apply for and obtain the mandatory permissions through the online single-window system. Finish construction, making sure the minimum capital expenditure of ₹50,00,000/- is met, and start commercial operations. - **Step 7: Submit the Subsidy Application** - File the capital subsidy application online within one year from the date commercial operations commence, uploading all required documents in the formats specified. - **Step 8: Verification and Processing** - The Tourism Department/Board will verify the application and documents, and then process the subsidy claim.
How applications are assessed
The Tourism Department or Board screens every application it receives. As part of this scrutiny, the documents filed are examined, the capital expenditure claimed is checked against what was actually incurred, and the start of commercial operations is confirmed, so that only applicants meeting the eligibility criteria move forward to have their subsidy claim processed.
Frequently asked questions
What is the primary purpose of the Capital Investment Subsidy scheme?
The scheme encourages private investment in essential tourism infrastructure — power and water supply, approach roads, sewage and drainage systems — on land and heritage assets leased from the Tourism Department in Madhya Pradesh.
What is the maximum subsidy amount one can receive?
The capital investment subsidy is available up to a ceiling of ₹3,00,00,000 (₹3 crore).
What is the minimum capital expenditure required to qualify for this subsidy?
To qualify for the benefit, an applicant must incur capital expenditure of at least ₹50,00,000 (₹50 lakh), as approved by the department.
Is the subsidy repayable under certain conditions?
Yes, the subsidy carries a conditional repayment obligation. Should the unit shut down within one year of receiving it, 80% must be refunded; within two years, 60%; and within three years, 50%.
What types of entities are eligible to apply?
Private investors and entities setting up a tourism project may apply, including public and private limited companies, LLPs, proprietorship and partnership firms, cooperatives, trusts, FPOs, and individuals.
How do I apply for this Capital Investment Subsidy?
Applying for the capital subsidy involves two stages: registering as a Vendor/Investor on the Madhya Pradesh Government's Invest Portal, completing your profile and obtaining the mandatory permissions; then, once construction is finished and commercial operations have begun, filing the capital subsidy application online within one year of the commencement date, with all supporting documents, for verification by the Tourism Department/Board.
Sectors
- Travel Tourism
- Tourism
- Infrastructure
- Madhya Pradesh
- Subsidy
- Capital Investment
Details last verified on 18 September 2026. Source: the issuer's published information.