The concept of Homestay tourism is gaining popularity in the present times as it offers an opportunity to the tourists to experience the locality more closely, engage with the locals, understand their way of life and the unique culture, and to visit undiscovered places things that no luxury hotel or resort can offer. It is also a more responsible more inclusive form of tourism and provides self-employment opportunities to the rural people. The Himalayan state of Uttarakhand is blessed with splendid natural beauty, rich culture and a peaceful environment. Tourism contributes about 15.45% towards the State GDP; thus, development of homestay tourism holds immense potential in the State of Uttarakhand. In 2018, the government of Uttarakhand came up with a scheme dedicated towards the development of Homestay tourism, ‘Deendayal Upadhyay Homestay Yojana’ to provide self- employment opportunities in the rural areas of Uttarakhand and to address the challenge of inadequate accommodation facilities. Under the scheme homestay, operators in hilly areas would be entitled to a subsidy of up to Rs. 10 lakh on the loan amount and up to Rs. 1.5 lakh towards interest payments. In the plain areas, the homestay operators would be entitled to a subsidy of Rs. 7.5 lakh towards loan amount and 1 lakh interest payments. The government had set a target of 5,000 registered homestays by the year 2020. The scheme also involves a provision of developing a village with at least 6 homestays as a cluster to be equipped infrastructural facilities. The government of Uttarakhand plans to introduce a programme to provide training to the homestay operators in the hospitality to promote Homestay Tourism in the state.
