Deen Dayal Upadhyaya Grah Aawas (Home-Stay) Vikas Yojana

The scheme “Deen Dayal Upadhyay Grah Aawas (Home-Stay) Vikas Yojana” has been started by the Department of Tourism, Government of Uttarakhand. The scheme aims to promote rural and eco-tourism by encouraging local residents to develop homestay facilities, thereby generating employment and income opportunities within the state.

• There is a provision for financial assistance to permanent residents/native of the state who take a loan for the construction of homestays.
• In hilly areas, a subsidy of up to 50% of the project cost, subject to a maximum of ₹15.00 lakh, is provided along with an interest grant of up to ₹1.50 lakh for the first five years.
• In plain areas, a subsidy of up to 25% of the project cost, subject to a maximum of ₹7.50 lakh, is provided along with an interest grant of ₹1.00 lakh for the first five years. The beneficiary’s contribution at the time of availing the loan must be 12.5%.
• The subsidy is applicable only when the loan is taken.
• In addition to the construction of new houses, funds/subsidy are also provided for the upgradation of old buildings, including their extension, renovation, improvement, and construction of toilets, as mentioned above.

1. This benefit is provided as a subsidy for the construction of homestays across the state of Uttarakhand, excluding areas under Municipal Corporations and Municipalities.
2. The applicant must be a native of Uttarakhand.
3. The building owner, who resides in the building with their family, may construct a minimum of one and a maximum of six guest rooms.
4. Upon construction of a new homestay or renovation of an existing one, the property must be registered with the Uttarakhand Tourism Development Council.
5. Preference will be given to buildings constructed or developed in the traditional hill-style architecture.

Online

The applicant must apply online through https://msy.uk.gov.in/ under Deendayal Upadhyay Griha Awas (Homestay) Vikas Yojana. Registration requires an Aadhaar card and an Aadhaar-linked mobile number. The following documents must be attached during application: date of birth certificate, educational qualification certificate (optional), permanent residence certificate, land/building-related documents, plan layout (anganan), written certificate from the Pradhan regarding non-availability of land in the municipality, NOC for purchasing fire extinguisher/fire department approval, map approval by the authorized department/institution, and SC/ST/OBC/Ex-servicemen certificate, if applicable.
After submission, the application is forwarded to the District Tourism Development Officer (DTDO) of the concerned district. The DTDO schedules a committee meeting under the chairmanship of the District Magistrate and calls the applicant for an interview. If the committee finds the proposal satisfactory, it is sent to the bank from which the applicant intends to take the loan. The proposal is submitted online to the bank, which then initiates the loan approval process. Once approved, the bank notifies the Tourism Officer and credits the loan amount to the applicant’s account.
After completing the construction or renovation of the homestay, the applicant must submit a written notice to the Tourism Officer confirming project completion. The new homestay must then be registered. A joint inspection is conducted by the District Tourism Development Officer and the relevant bank branch manager. After confirmation of project completion, the inspection report is submitted, the homestay begins hosting visitors, and the department transfers the approved subsidy directly to the bank account associated with the loan.