S Gopal Puri
Shimla:
In a move aimed at promoting sustainable tourism and creating self-employment opportunities, the Himachal Pradesh Government has approved the Chief Minister’s Tourism Startup Scheme, with a strong focus on encouraging and upgrading homestay units across the state.
Under the new initiative, the state will offer financial assistance and interest subsidies on loans for both setting up new tourism-related ventures and upgrading existing homestay accommodations. This scheme is exclusively for bonafide Himachalis, reinforcing the government’s intent to empower local communities and support grassroots entrepreneurship.
Interest subsidy to support new, existing units
A government spokesperson said that the scheme provides an interest subsidy of up to 3 per cent in urban areas, 4 per cent in rural regions and 5 per cent in tribal belts.
This subsidy will apply for a maximum period of three years on loans up to Rs 2 crore. The initiative is expected to formalise the growing homestay sector, enhance quality standards and provide budget-conscious tourists — such as backpackers, students and solo travellers — with affordable alternatives to high-end hotels.
Homestays a cultural gateway for tourists
“Homestays not only offer economical lodging options but also give visitors a chance to experience Himachal’s rich local traditions, cuisines and way of life,” the spokesperson said.
Homestays have increasingly emerged as a bridge between travellers and local communities, helping tourists stay longer in interior regions while offering locals a sustainable source of income.
By offering guests a more intimate look at village life and regional heritage, homestays contribute to decentralised tourism, ensuring that the benefits are spread beyond traditional hotspots like Shimla and Manali.
The government sees this initiative as a step toward balanced regional development. In line with Himachal’s environmental goals, the scheme encourages private entrepreneurs to invest in eco-friendly tourism infrastructure without compromising on the state’s fragile ecology.
“Himachal has always attracted tourists with its clean environment, rivers, forests, spiritual sites, and scenic valleys. This scheme reinforces our commitment to building a sustainable tourism model that supports the economy without harming the environment,” said the spokesperson.
According to the Himachal Economic Survey 2024–25, the tourism and hospitality sector contributes 7.78% to the state’s Gross Domestic Product (GDP), highlighting its importance in driving the economy.
