Delhi Unveils Draft Industrial Policy to Boost Hospitality and Tech Sectors
NEW DELHI: In a bid to position Delhi as a global hub for business and leisure tourism, the Delhi government’s draft Industrial Policy 2025-35 has proposed targeted interventions to strengthen the city’s hospitality sector. These include increasing hotel room availability near key locations in the national capital like ITPO at Pragati Maidan and Yashobhoomi in Dwarka.
The draft, released for public feedback by the Industries Department, identifies three focus sectors including Frontier tech services, research & development, and hospitality (excluding tourism), that are expected to drive the capital’s economic growth while addressing land scarcity and sustainability concerns. To support Frontier tech services such as AI, Big Data, Gaming, Biotech, and IT & ITeS, the government has proposed major fiscal incentives.
These include 50% capital investment reimbursement (up to Rs 50 crore), 6% annual interest subsidy for five years, full reimbursement of patent filing costs up to Rs 5 lakh per patent, and a Rs 400 crore venture capital fund. Additionally, a 100% NET SGST reimbursement for five years and a 50% exemption on interstate power wheeling and transmission charges are proposed.
The policy acknowledges the space crunch in commercial real estate and proposes developing Plug & Play IT Parks and Global Capability Centres in Baprola, Ranikhera, and Kanjhawala through PPP models. It also plans to ease regulatory norms to make Delhi more conducive to restaurants and nightlife by streamlining compliance and adopting a “reasonable” alcohol policy.
To strengthen MICE (Meetings, Incentives, Conferences, Exhibitions) infrastructure, the policy proposes using the venture capital fund for credit enhancement, encouraging PPP-led development of hotels, serviced apartments, and worker housing near major venues like Pragati Maidan and Yashobhoomi. It also suggests allowing such facilities in commercial centres within industrial zones, particularly those on 30-metre-wide roads.
The policy further recommends building tourism infrastructure on government land through PPPs and initiating capacity-building programmes for hospitality service providers through government skill initiatives. Delhi, the document notes, already enjoys excellent regional connectivity, modern convention infrastructure, and a strong base for MICE tourism, which the policy seeks to expand.
“The hospitality industry showcases Delhi’s unique identity and contributes significantly to the local economy. Through strategic initiatives, the policy aims to attract tourists and provide a memorable experience, further bolstering economic prosperity,” the draft notes. Feedback from stakeholders is invited before the final policy is notified.
