Tourism ministry offers interest subsidy on hotel loans in Delhi

The ministry of tourism has introduced an 'interest subsidy scheme for the upgradation of approved / licensed guest houses' in the National Capital Region (NCT) of Delhi, in order to encourage growth of budget accommodation in view of the forthcoming Commonwealth Games.

The scheme would be effective immediately and would apply to all licensed guest houses in the NCT of Delhi, which have been approved by the department of tourism of the government of Delhi or the central ministry of tourism.

The interest subsidy would be applicable for loans taken for upgradation of existing facilities, which are allowed as per the prevailing civic bye-laws of DDA / MCD / NDMC, etc.

In order to be eligible for the interest subsidy, the guesthouses should have obtained permissions for civil works, if needed, of the concerned civic authorities, wherever applicable, an official release said.

The interest subsidy would be applicable to loans for upgradation of rooms (flooring, furniture like bed, table, chair, luggage rack/cupboard, bathroom fixtures, including WC and wash basin, geyser, RO machine for drinking water, A/C, electric light fittings), common areas like lobby / reception area, façade, and infrastructure development like supply of electricity, water and installation of solar heating and lighting etc.

The guest house would require to incur a minimum of 7.5 per cent of the loan amount availed from the financial institution towards the improvement / beautification of façade / outside improvements, signages, lighting as per the permissible norms.