UP IT/ITeS Capital Subsidy Scheme 2022

The "Capital Subsidy for New IT/ITeS Units" is a key incentive under the IT and ITeS Policy of Uttar Pradesh 2022, designed to significantly boost investment and foster growth in the information technology and IT-enabled services sectors across the state. This initiative aims to attract new businesses and encourage existing ones to expand their operations within Uttar Pradesh by offering substantial financial support for their fixed capital investments. By providing direct financial incentives, the policy seeks to create a more vibrant and competitive IT/ITeS ecosystem, leading to job creation and economic development.

This subsidy specifically targets eligible IT/ITeS units that commit to a minimum capital investment of ₹5 Crores. The program offers a capital subsidy equivalent to 10% of the Fixed Capital Investment (FCI), with a generous cap of ₹50 Crores. This ensures that both mid-sized and large-scale IT/ITeS projects can benefit from the scheme. The disbursal mechanism is structured to support the long-term operational stability of these units, with the total subsidy spread across five annual installments. Each annual installment is capped at ₹10 Crores, providing consistent financial relief as businesses stabilize and grow post-commercial operations.

The Government of Uttar Pradesh is committed to positioning the state as a leading destination for IT/ITeS investment, leveraging its skilled workforce, improving infrastructure, and supportive policy framework. This capital subsidy is a testament to that commitment, aiming to reduce the financial burden on companies making significant capital expenditures and thereby accelerating their setup and operational efficiency. The policy is intended to drive innovation, enhance digital infrastructure, and attract cutting-edge technology companies to establish their presence in Uttar Pradesh, contributing to the state's vision of becoming a trillion-dollar economy.