Interest subsidy will also be allowed to: -

a) Hotel projects approved by the Department of Tourism after disbursement of loans by Industrial Finance Corporation of India / State Financial Corporations provided that such projects were/are at implementation stage.

(i.e. not commissioned at the time of the said approval). The benefits under this amendment would however accrue from the date of publication of this Notification in the official Gazette and a certificate from the Financial Institution concerned that the project was at implementation stage on the date on which it was approved by the Department of Tourism should support the claim arising there from.

b) Hotel projects which were sanctioned loans by the State Industrial Development Corporations prior to 1-8-95 i.e. the date of extension of the scheme to these institutions, providing that the projects were approved by the Department of Tourism either prior to or after inclusion of these institutions in the scheme and projects were at implementation stage at the time of such approval. The benefits under this amendment or the date of approval of the hotel projects by the Department of Tourism whichever is later.

2) Interest Subsidy to four and five star approved hotel projects, which have already been granted loans before 25 th August 1992 by the approved financial institutions under the interest subsidy scheme of the Department of Tourism, will be paid only for the period up to 31 st March, 1997. No interest subsidy will be admissible from 1-4097 onwards in respect of these hotel projects.

3) The interest subsidy @5% will be paid in the cases of loans granted by the above financial institutions for one, two, three star approved hotel projects in the places included in the following identified Travel Circuits and Specified Destinations:

TRAVEL CIRCUITS

		Kullu- Lahul/ Spiti- Leh (Lahul+Spiti)- Monastic Circuit
		Gwalior- Shivpuri- Orcha- Khajuraho
		Bhubaneswar- Puri- Konark
		Hyderabad- Nagarjunasagar- Tirupati
		Mahabalipuram-Kancheepuram-Vellur-Thiruvanamalai-Guindy-Pondicherry (Southern Heritage Circuit)
		Rishikesh_ Narendranagar- Gangotri- Badrinath
		Bhopal- Sanchi- Indore- Ujjain- Maheshwar- Omkareshwar- Mandu
		Jailsalmer- Jodhpur- Bikaner_ Barmer
		Bangalore- Mysore- Hassan
		Raigad Fort- Janjira Fort- Kuda Caves- Srivardhan- Harihareshwar- Sindhudurg
		Varanasi/ Sarnath – Gorakhpur- Kushinagar – Sanauli - Piprahwa (Kapilvastue), Sankasia- Kausambi- Sravasti- Lucknow (Buddhist Circuit)
		Patna-Bodhgaya– Nalanda – Rajgir – Vaishali (Buddhist Circuit) Bhubaneswar – Lalitgiri – Ratnagiri – Udayagiri – Kendrapara Chand- Bali-Bhadrak (Sun Temple).
		Cochin – Thekkady – Madurai – Rameswaram
		Harishankar – Narsinghanath – Hirakud – Sambalpur
		Korsput- Araku Valley- Nandapur- Gupteshwar- Rayagada (Panchabati Circuit)

DESTINATIONS

		Lakshadweep Islands.
		Andaman Islands
		Manali (Solang Nalah)
		Bekal Beach
		Muttukadu Beach
		Kangra (Pong Dam)
		Diu (Daman & Diu)
		Ajanta – Ellora (Aurangabad)

Interest Subsidy at the enhanced rate of 5% in the places not covered in the Department’s Notification of even number dated 25.8.1992 will be payable on the loans that may be sanctioned to the approved hotel projects after publication of this Notification in the Official Gazette.

These orders are issued with the concurrence of integrated Finance vide U.O. No.14096/F. 11/97 dated 20.06.1997.

Under Secretary to the Government of India

To

     The General Manager

     Government of India Press

     New Delhi.

Copy to:

For more details, write to us.