Car Loan Scheme 2026

This scheme by the Madhya Pradesh Tourism Department offers a 25% capital investment subsidy, capped at ₹3,00,00,000, Read More... to encourage private investors in developing essential infrastructure like power, water, and roads on land leased from the department. Read less

Details

The Madhya Pradesh government, through its Tourism Department, is actively encouraging private sector involvement in boosting tourism infrastructure. The 'Capital Investment Subsidy for Creation of Infrastructure' scheme is designed to make it more attractive for investors to develop vital facilities on land and heritage assets leased from the Tourism Department.

What Is This Scheme?

This scheme aims to provide financial assistance in the form of a capital investment subsidy to private investors. The subsidy is intended to cover the costs of creating essential infrastructure such as power supply, water supply, approach roads, and sewage/drainage systems. This support is provided for projects developed on land or heritage assets that have been leased from the Madhya Pradesh Tourism Department.

Who Can Benefit From This Scheme?

The primary beneficiaries of this scheme are private investors and entities looking to establish or expand tourism projects in Madhya Pradesh. To be eligible, applicants must have secured land or heritage assets on a lease basis from the Tourism Department and plan to develop the necessary infrastructure on these leased properties.

Why This Scheme Is Important

By incentivizing the creation of robust infrastructure, the scheme plays a crucial role in enhancing the overall tourism experience. It helps attract private capital for development, leading to better amenities for tourists and supporting the growth of the tourism sector in Madhya Pradesh. The subsidy effectively reduces the financial burden on investors, making tourism projects more viable.

Objective

This scheme by the Madhya Pradesh Tourism Department offers a 25% capital investment subsidy, capped at ₹3,00,00,000, to encourage private investors in developing essential infrastructure like power, water, and roads on land leased from the department.

Benefits

Loan Limit:70% of the cost of the vehicle.Security:Immovable property situated in the UT of Puducherry to the extent of 100% of the loan amount.

Sources and references

Scheme Information

Eligibility Criteria

Applicants must be private investors or entities planning to establish a tourism project.
The land or heritage assets used for the project must be obtained on lease from the Tourism Department.
The applicant must develop infrastructure such as power supply, water supply, approach roads, sewage, and drainage systems on the leased property.
A minimum capital expenditure of ₹50,00,000 must be incurred, as approved by the department.
The tourism project must be established and become operational within the policy's active period.
Applicants cannot claim 'Investment Promotion Assistance' if they are receiving this capital subsidy.

How To Apply

Applications for land allocation, permissions, and the subsidy should be submitted online.
Utilize the State Government's Invest Portal or the Single Window System for submissions.
The scheme is implemented by the Madhya Pradesh Tourism Board.

Official Portal: Applications are accepted through the state's investment portal and single-window system.

Documents Required

Photocopy of the First Lodging Bill, Catering Bill, or Service Bill.
Coloured Photographs of the Unit/Project from 03 Different Angles.
Copy of Vendor Form.

Identity and Business Proof

Copy of Memorandum and Articles of Association (for public/private limited companies).
Copy of Partnership Deed and Certificate of Registration (for partnership firms).
Name and Address of Proprietor/Certificate of Registration (for proprietary concerns).
Copy of Certificate of Establishment of Firm/Company.
Copy of PAN Card.
Copy of Photo ID Proof (Aadhaar Card/Voter ID/Passport, etc.).

Land and Project Details

Copies of Sale/Lease Deed (title document).
Copy of Project Report.
Copy of Map Sanctioned by the Local Authority (Municipal Corporation, Municipality, etc.).
Copy of the Building Permission Granted by the Appropriate Authority.
Copy of Approved Floor Plan.
Completion Certificate from the Competent Authority.

Financial Documents

Total Project Cost Certificate Certified by a Certified Engineer/Valuer.
Total Capital Cost Certificate Certified by a Chartered Accountant.
Debt Details from the Concerned Financial Institution.
Cancelled Cheque of the Firm/Company.

FAQ’s

What if I have to close my tourism unit within three years of getting the subsidy?

If your unit closes within 1 year of receiving the subsidy, you need to refund 80% of the subsidy amount. If it closes within 2 years, you must refund 60%, and if it closes within 3 years, you must refund 50% of the subsidy amount.

How can I prove the exact date my tourism unit started commercial operations?

You should submit copies of your first lodging bill, catering bill, service bill, or any other legally accepted document that confirms the date of commercial operation.

Can I apply for benefits from multiple subsidy categories if my project qualifies for more than one?

No, you have to choose only one category to receive the benefit if your unit is eligible for grants or subsidies under more than one classification.

What is the maximum subsidy amount I can receive under this scheme?

The subsidy is calculated as a percentage of your fixed capital investment, but it's strictly limited to a maximum ceiling amount of ₹3,00,00,000.

Is there a requirement to hire local people for my project to be eligible for the subsidy?

Yes, you must provide employment to at least 70% of your total staff from the residents of Madhya Pradesh to be eligible for the capital subsidy.

Does the scheme offer any extra financial benefits if my project is located in a remote area?

Yes, projects established in remote or backward areas are eligible for an additional 5% Capital Investment Subsidy. Additionally, the minimum investment and room capacity limits are reduced by 50% for such projects.

How should I submit my applications for land and project permissions?

All applications for land allocation, permissions, and subsidies must be submitted online through the State Government's Invest Portal or the Single Window System.

Is there a minimum period my tourism unit must remain operational after receiving the subsidy?

Yes, you are required to keep the unit operational for at least 3 years from the date you receive the subsidy. You also need to submit an annual self-declaration confirming continuous operation.

What if I am expanding an existing hotel? Can I still get a subsidy?

Expansion projects are eligible for the subsidy if the expansion leads to at least a 50% increase in the staying capacity of the existing establishment.

Can I claim this capital subsidy if I am already receiving Investment Promotion Assistance?

No, if you are claiming this capital subsidy, you cannot also claim Investment Promotion Assistance. You must choose one.

What is the deadline for applying for the subsidy after my unit starts operations?

You need to submit your subsidy application within 1 year from the date you commenced commercial operations to be considered eligible for the claim.

Which professionals need to certify the costs for my subsidy application?

The total capital cost incurred on your project needs to be certified by a certified Engineer or Valuer. The total project cost needs to be certified by a Chartered Accountant.

Are there any additional benefits for entrepreneurs from Scheduled Caste or Scheduled Tribe communities?

Yes, entrepreneurs from SC/ST categories who own 100% of the tourism project are entitled to an additional 5% capital investment subsidy.

Does capital expenditure incurred before the official start of operations count towards the subsidy?

Expenditure incurred up to a maximum of 5 years before the commencement of operations can be considered valid, provided the project was executed and operated continuously.