The Ministry of Tourism (MoT) has welcomed the decision of Ministry of Finance’s decision to include hotels projects with
investment of INR200-300 crore in the Harmonised Master list of Infrastructure Sub-Sectors.
The list includes hotel projects that cost of more than INR200 crore at any place in India and of any star rating, and convention centre with a project cost of more than INR300 crore each. This facility will be applicable with prospective effects from the date of notification and available for eligible prospects for three years from the date of notification. Eligible costs exclude cost of land and lease charges but include interest during construction.
The inclusion of hotels and convention centres in the Harmonised Master list of Infrastructure sub-sector will have an immediate multiplier effect on the overall economic development and will provide a fillip to employment generation in the country. The inclusion of convention centres will also help to set-up niche products in tourism which have year-round business.