MP Capital Investment Subsidy — Up to ₹3 Cr for Tourism Infrastructure

Madhya Pradesh is trying to pull private money into the less visible half of tourism — the pipes, cables, roads and drains that make a site actually usable. This scheme, run by the Tourism Department of the Government of Madhya Pradesh and delivered through the Madhya Pradesh Tourism Board, is the financial nudge behind that effort.

What it funds is specific. The subsidy applies to core site infrastructure — drainage, sewage, water supply, power supply and approach roads — built on land or heritage assets that the applicant holds on lease from the Tourism Department. Simply owning a plot is not the route in; the asset has to come from the department on lease.

Instead of paying for a whole project, the state absorbs a slice of the approved Fixed Capital Investment. That leaves the developer funding the balance, but it cuts the effective cost of turning a heritage property or tourism site into something visitors can reach and use.

There is no application window to wait for — the scheme runs on a rolling basis. Approval, however, is evidence-led: the department verifies the spend and confirms that commercial operations have begun before any claim moves forward, and a unit that shuts down early has to return a portion of what it received.

• 25% of approved Fixed Capital Investment, capped at ₹3 crore
• Minimum capital expenditure of ₹50 lakh must be incurred
• Only for tourism infrastructure on land or heritage assets leased from the Tourism Department
• Covers power supply, water supply, approach roads, sewage and drainage
• Rolling applications — no fixed deadline
• Subsidy is partly repayable if the unit closes within three years

This subsidy is built for private investors and private entities putting up a tourism project in Madhya Pradesh. The key condition is the land: the applicant must have obtained land or a heritage asset on lease from the Tourism Department. Property held by other means does not fit the scheme.

The project itself must involve creating essential infrastructure on that leased asset — power supply, water supply, approach roads, sewage lines and drainage systems.

A minimum capital expenditure of ₹50,00,000 (₹50 lakh), as approved by the department, must be incurred. The tourism project also needs to be established and made operational during the operative tenure of this policy.

On the entity side, the state's single-window portal accepts registrations from Public Limited Companies, Private Limited Companies, LLPs, Proprietorship Firms, Partnership Firms, Cooperatives, Trusts, FPOs and individuals.

One restriction applies across the board: an applicant claiming this capital subsidy cannot also claim Investment Promotion Assistance.

MP Capital Investment Subsidy — Up to ₹3 Cr for Tourism Infrastructure is open to startups at any stage. It is open to startups registered anywhere in India.

MP Capital Investment Subsidy — Up to ₹3 Cr for Tourism Infrastructure accepts applications on a rolling basis — there is no fixed cut-off date, so eligible startups can apply at any time. Because rolling programmes can pause without notice, confirm the window is still open on the official site before you start.

The benefit is a capital investment subsidy equal to 25% of the approved Fixed Capital Investment. On the minimum qualifying spend of ₹50 lakh, that works out to roughly ₹12.5 lakh; the payout is capped at a maximum of ₹3,00,00,000 (₹3 crore).

• Rate of support: 25% of approved Fixed Capital Investment.
• Minimum capital expenditure: ₹50,00,000 (₹50 lakh), as approved by the department.
• Maximum subsidy: ₹3 crore.
• Indicative range: about ₹12.5 lakh to ₹3 crore, depending on the investment made.
• Where the money goes: towards essential tourism infrastructure — power supply, water supply, approach roads, sewage and drainage on leased land or heritage assets.

The point of the support is to reduce the financial load on private developers so more tourism infrastructure projects get built and heritage sites become easier to access.

The subsidy is conditionally repayable. If the unit stops operating within one year, 80% must be refunded. If it closes within two years, 60% is refunded; within three years, 50%. Beyond that, the repayment slabs in the scheme do not apply.

MP Capital Investment Subsidy — Up to ₹3 Cr for Tourism Infrastructure is offered by Tourism Department, Government of Madhya Pradesh, a government body. As a government-backed subsidy, it is publicly funded and open to eligible startups across India.

There is no competitive pitch round here. Every claim is subject to verification by the Tourism Department and the Madhya Pradesh Tourism Board, who assess it against the scheme's conditions.

• The documents uploaded with the application are reviewed for completeness and eligibility.
• The capital expenditure actually incurred is verified against what was approved.
• The commencement of commercial operations is confirmed.
• Once these checks are satisfied, the subsidy claim is processed for payment.

Before you apply to MP Capital Investment Subsidy — Up to ₹3 Cr for Tourism Infrastructure, keep the following documents ready:

• A pitch deck or short business plan describing the problem, product and traction
• Company registration documents and PAN
• Founder identification (PAN / Aadhaar) and brief profiles
• Recent financial statements or projections
• Product details — a demo, prototype or working link if available

Exact requirements are confirmed on the official application portal — treat this as a preparation checklist.

MP Capital Investment Subsidy — Up to ₹3 Cr for Tourism Infrastructure is best suited for startups in India seeking non-dilutive funding of ₹12.5L – ₹3Cr. If that describes your startup, review the eligibility criteria above before applying.