Investment Promotion Assistance To Setup Large/Mega/Ultra-Mega Tourism Projects
Tourism Department, Government of Madhya Pradesh · Central government
Financial incentives for private entities building large-scale tourism infrastructure in Madhya Pradesh, offering up to ₹90 crore based on capital investment and employment.
Open, rolling. Applications are accepted continuously — there is no deadline.
Key facts
- Subsidy amount
- ₹3,00,00,000 – ₹90,00,00,000
- Instrument
- Subsidy
- Deadline
- Rolling
- Disbursement
- Paid in tranches
About this scheme
The Tourism Department, Government of Madhya Pradesh, administers the "Investment Promotion Assistance to Setup Large/Mega/Ultra-Mega Tourism Projects" scheme. It offers financial incentives to private investors and legal entities undertaking substantial capital investment in tourism. The objective is to develop projects such as large hotels, resorts, and theme parks, generating employment for residents of the state. Projects are classified as Large, Mega, or Ultra-mega, with distinct capital expenditure and employment thresholds determining the assistance provided.
Through these incentives, the state aims to strengthen its standing as a tourist destination, improve visitor facilities, and support economic activity in local areas. The scheme forms part of the state's tourism policy, seeking participation from domestic and international investors in building tourism infrastructure.
Who can apply
- Eligible business forms
- Private limited company, Limited liability partnership, Partnership firm, Sole proprietorship
- 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 entity (Public/Private Limited Company, LLP, Partnership Firm, Proprietary Concern, Cooperative, Trust, FPO, or Individual). - Must meet minimum capital expenditure and employment generation criteria for Large (₹10 crore investment, 50 MP residents employed), Mega (₹50 crore investment, 100 MP residents employed), or Ultra-mega (₹100 crore investment, 200 MP residents employed) project categories. - Employment must be for residents of Madhya Pradesh. - Cannot claim Capital Subsidy under any other policy clause for the same project. - Heritage Hotels are eligible with 50% reduced investment and employment criteria. - Projects must adhere to stipulated timelines for phase completion (2 years for phase 1, 3 years for phase 2, 5 years for final phase) to avail phase-wise incentives.
How to apply
1. **Registration:** Access the Madhya Pradesh Government's Invest Portal (https://sws.invest.mp.gov.in/) and begin registration by selecting the "Vendor / Investor" option. 2. **Basic Information:** Enter the required details, including the "Type of Organisation" (such as Public Limited Company, Private Limited, LLP, Proprietorship Firm, Partnership Firm, Cooperative, Trust, FPO, or Individual), along with the "Firm/Company Name" and "Authorized Person Name". 3. **Contact Details:** Provide a valid email address and mobile number. These will be used to send the application number, User ID, password, and all subsequent communications. 4. **Registration Completion:** Submit the basic registration form. A User ID and password will be generated and delivered to the mobile number you provided. 5. **Profile Update:** Log in with the credentials received and complete your profile to finalise the registration before applying for the scheme. 6. **Project Permissions & Completion:** Obtain all necessary permissions through the online single-window system within the prescribed time limits. Finish project construction, meet the minimum capital expenditure requirement, and begin commercial operations. 7. **Subsidy Application:** File the capital subsidy application online within one year of the commencement of operations. Attach all required documents, ensuring they conform to the specified formats (for instance, JPG for photographs). 8. **Verification & Processing:** The Tourism Department/Board will review the application and supporting documents, after which the subsidy claim will be processed.
How applications are assessed
Applications are submitted via the Invest Portal operated by the Madhya Pradesh Government. The Tourism Department/Board carries out the verification of the application and its accompanying documents. This check confirms that the project satisfies the prescribed capital expenditure and employment generation thresholds, and that all requisite approvals and project completion conditions have been met prior to the processing of the subsidy claim.
Frequently asked questions
What is the primary objective of this scheme?
The scheme offers capital subsidies to private investors in Madhya Pradesh’s tourism infrastructure, with incentives calculated on the basis of capital invested and employment created, to stimulate tourism and generate jobs in the state.
What is the maximum amount of assistance I can receive?
The maximum Investment Promotion Assistance is ₹90 crore for Ultra-mega projects, equivalent to 30% of capital investment; for Mega projects it is ₹30 crore, and for Large projects it is ₹15 crore.
Who is eligible to apply for this scheme?
Any private entity — including public or private limited companies, LLPs, partnership firms, proprietary concerns, cooperatives, trusts, FPOs, and individuals — is eligible if it invests at least ₹10 crore and creates jobs for Madhya Pradesh residents. Minimum investment and employment thresholds vary by project category: Large, Mega, or Ultra-mega.
Are there any special benefits for certain categories of applicants or projects?
Yes, SC/ST applicants with 100% ownership qualify for an extra 5% capital investment subsidy. Heritage Hotel projects also face lower minimum investment and employment thresholds—set at 50% of the standard limits for their category—while still receiving the same benefits.
How is the assistance disbursed?
The approved assistance is released in four annual instalments: 10% in year one, 10% in year two, 5% in year three, and 5% in year four. Each tranche is contingent on meeting conditions such as project completion timelines and employment maintenance.
What kind of documents are typically required for the application?
Applicants generally need to provide proof of company registration, detailed project reports covering capital expenditure and employment projections, land ownership or lease documents, regulatory permissions, and financial statements. After project completion, proof of capital expenditure and employment records will be required for subsidy claim verification.
Sectors
- Travel Tourism
- Tourism
- Infrastructure
- Capital Subsidy
- Madhya Pradesh
- Economic Development
Details last verified on 3 August 2026. Source: the issuer's published information.