Uttar Pradesh is positioning tourism as a key driver of employment and economic growth, targeting an increase in the sector’s share in total jobs from around 1.4 per cent at present to 5 per cent by 2047. The initiative forms part of the state’s broader strategy to build a USD 1 trillion economy, with tourism expected to play a larger role through infrastructure expansion, private investment and innovation-led enterprises.
To accelerate this shift, the Uttar Pradesh Tourism Department has invited proposals under the ‘New Tourism Startup Units’ category. The initiative aims to promote technology-driven, sustainable and experience-based tourism projects that can generate employment while enhancing visitor experiences across the state.
“Tourism in Uttar Pradesh is no longer limited to sightseeing. It is emerging as a smart, experience-driven sector with strong potential for employment and investment. Through startup-led innovation, we are creating new opportunities that will contribute significantly to the state’s economic growth and help achieve the USD 1 trillion economy target,” said Jaiveer Singh, Tourism and Culture Minister.
The state is exploring a range of new tourism models, including themed stays such as Hobbit Houses, capsule pods, caravan tourism units, regenerative tourism projects and open-air ‘star bed’ concepts. These offerings are aimed at attracting younger and experience-focused travellers while supporting local businesses.
A State-Level Special Tourism Committee (SLSTC) has been established to fast-track approvals, evaluate proposals and determine incentives. Eligible projects will receive registration through the Tourism Directorate following approval, ensuring streamlined processing.
Under the Uttar Pradesh Tourism Policy, projects with investments between INR 10 lakh and INR 10 crore are eligible for a 25 per cent subsidy (up to INR 2 crore), with additional benefits including full exemption on stamp duty and waivers on land-related charges. Women and SC/ST entrepreneurs are eligible for an additional 5 per cent subsidy.
“Tourism has one of the highest employment multipliers across sectors. By enabling startup-led models and experience-based tourism, we are expanding opportunities beyond traditional hospitality into services, mobility, digital platforms and local enterprises. This approach will be critical in scaling both jobs and value creation in the tourism economy,” said Amrit Abhijat, Additional Chief Secretary, Tourism, Culture and Religious Affairs.
The broader roadmap also targets an increase in tourism’s contribution to state GVA from 1.2 per cent to 5 per cent by 2047, alongside raising Uttar Pradesh’s share in India’s tourism GVA to 16 per cent . The state continues to invest in infrastructure, connectivity and destination development across key hubs such as Ayodhya, Kashi and Mathura
