323 projects, 10000 hotel keys & 21 crore visitors: MP scaling up its tourism ambitions
Dr Abhay Arvind Bedekar (IAS),
Focus now is to ‘connect, create, facilitate, collaborate, and conserve’, says the Additional MD of Madhya Pradesh Tourism Board.
Madhya Pradesh is stepping up its tourism investment push, with 323 projects being facilitated under the state’s tourism investment policy, shared the Additional Managing Director of Madhya Pradesh Tourism Board, Dr Abhay Arvind Bedekar (IAS), with T3. These projects are being facilitated by the Tourism Board’s investment policy, which offers subsidies and infrastructure support to investors.
“In these projects, some are made on land auctioned by MP Tourism, some are made on private land, but we have given them a subsidy. The investment policy provides a 15% capital subsidy for investments above INR 2 crore, up to an investment level of INR 10 crore, while investments above INR 10 crore are eligible for a 30% capital subsidy,” the Additional MD shared.
Infrastructure developed by investors to provide access to their properties can also qualify for a 25% subsidy, he added. The investment push, he said, has translated into approximately 10,000 new hotel keys, alongside employment generation.
The state is also using an ultra-mega project mechanism to attract larger investments. Projects involving investments of more than INR 100 crore can qualify for land allotment without auction, subject to the investor presenting and securing approval for an investment plan.
The strategy is also bringing national hotel brands into the state. Bedekar named Taj, Novotel and other Accor brands, Radisson and Marriott among brands that have entered or are being promoted in Madhya Pradesh, with several projects also availing themselves of state subsidies.
Notably, Madhya Pradesh Tourism has set aside an INR 500 crore tourism budget for 2026–27.
1,000 homestays by the end of 2026; skilling prioritised
The state is simultaneously working to strengthen its rural and homestay tourism ecosystem. Madhya Pradesh Tourism is collaborating with Tata STRIVE & IHCL and its own hospitality management institutes to build skills among homestay operators. The focus is not merely on increasing the number of homestays but on improving service standards, particularly for operators catering to domestic and international visitors.
Training is being planned across areas including front office, cooking and room service. The state has five hospitality-related institutes involved in training and skilling initiatives, shared Bedekar “Skilling is the next thing we feel is. So, without skills, the tourism sector cannot grow.” Madhya Pradesh currently has an estimated 700–800 homestays, according to the Additional MD, and has set a target of 1,000 homestays by the end of 2026.
The state’s homestay policy is also designed to reduce the regulatory and operating burden on recognised homestays.
Beyond wildlife
While wildlife remains a core tourism proposition for Madhya Pradesh, the state is looking to diversify its tourism portfolio.
Spiritual tourism is already a major driver of domestic demand, while MICE, film tourism, adventure tourism and helicopter services are being given greater attention. For MICE, Madhya Pradesh is working towards a dedicated institutional structure. The state is considering either a statewide MICE convention bureau or a bureau covering Indore and Bhopal, with an announcement expected within one to two months, according to Bedekar.
Adventure tourism and heli-seva, or helicopter services, are other areas being developed, particularly to improve access to remote destinations. Film tourism is emerging as another major opportunity. The state also provides subsidies for films made in Madhya Pradesh and productions involving artists from Madhya Pradesh.
“We have seen a growing interest among filmmakers in the ease of doing business, including streamlined permissions and a single window approach. Permissions are given easily,” he shared with T3. As shared by Bedekar, Madhya Pradesh reported 502 films shot in the state, INR 1,200 crore in investment, 1.5 lakh employment opportunities generated, 83 film/theatre subsidies allotted, and more than 1,000 online permissions issued.
Madhya Pradesh Tourism is also widening its product strategy towards destination weddings. Mandu is another destination that the state intends to focus on.
Connectivity remains the challenge for inbound pull
In 2025, total tourist visits to MP rose to 21.05 crore, representing a net increase of 7.64 crore visitors and 57% year-on-year growth; domestic visitor numbers grew 57%, while international visitors recorded 9.10% growth. Domestic tourism, meanwhile, continues to be driven heavily by spiritual travel.
Bedekar said the tourist numbers have reached the crore level and cited the scale of visitation to Mahakal Temple as an illustration, saying that more than five lakh tourists visit the temple daily. Despite strong domestic tourism, the state sees connectivity as the biggest hurdle in converting Madhya Pradesh into a larger international tourism destination, as per Bedekar. He said the state is working to improve connectivity to Khajuraho through Government of India schemes and is positioning it under its “One State, One Destination” initiative.
“We are focusing on a five-point approach: connect, create, facilitate, collaborate and conserve,” he added, saying the objective is not simply to bring visitors into Madhya Pradesh, but to encourage them to stay longer and return.
Bedekar also shared that MP is also looking at partnerships with neighbouring states, particularly UP and Rajasthan, to tap international tourists already travelling through those states.
