The Odisha government is focusing on curated homestays to boost tourism and tackle the lack of quality accommodation, as more travelers seek immersive cultural experiences in emerging destinations.
Homestay Scheme Details
A year after launching the Odisha Homestay Establishment Scheme-2025, the tourism department has identified 61 gram panchayats across 19 districts where residents can set up homestays with government assistance. Nineteen clusters covering these panchayats have been earmarked in districts that have tourist attractions but lack adequate accommodation.
For instance, in the Koraput cluster, Kotia, Lankaput, and Guneipada have been identified, covering destinations such as Deomali, Kechela, and Duduma waterfalls. Based on tourism potential, the department aims to establish 60 homestays in this cluster.
Similarly, in Kandhamal district, where Daringbadi is a popular destination, five panchayats—Daringbadi, Greenbadi, Sraniketa, Siangabadi, and Pliheri—have been selected for 50 homestays. Overall, 380 homestays are targeted in the first cycle of the scheme.
Application Process
Tourism commissioner-cum-secretary Balwant Singh said the department is inviting applications from individuals, including rural entrepreneurs, for the first phase. “The response has been encouraging. After a month, applications will be shortlisted, and if the number exceeds the target, a lottery system will select beneficiaries,” he added.
Financial Assistance
Under the scheme, each selected project receives financial aid of up to 50% of fixed capital investment. The incentive is capped at Rs 2.5 lakh per room for a maximum of four rooms, totaling Rs 10 lakh per homestay.
Singh explained that earlier homestays operated as bed-and-breakfast facilities with absent owners, but now the focus is on curated homestays that reflect local aesthetics and provide immersive experiences. “We want to promote authentic homestays where owners host guests and offer local culture and cuisine,” he said.
Non-Financial Support
Apart from financial incentives, the department will provide non-financial support to existing homestay owners through capacity building, branding, and marketing. “We will promote these properties on the Odisha Tourism and Go-Homestay portals to enhance credibility. Owners will be encouraged to participate in tourism events across the country,” Singh added.
In March this year, the state government launched the Go-Homestay portal for application, registration, management, and promotion of homestays across Odisha under the scheme.
