The Chief Minister's Office of Odisha announced on Wednesday, June 10, 2026, that the Odisha Cabinet has approved a sweeping set of decisions covering tourism infrastructure, industrial expansion, and worker welfare, signalling a broad push to diversify the state's economic base.

Context

The cabinet cleared the Land Bank for Hospitality Infrastructure Scheme, a new framework designed to promote balanced tourism development across the state by making land available for hospitality projects in underserved regions. Alongside this, ₹1,500 crore has been earmarked over five years to strengthen tourism infrastructure and attract private investment into the sector. The twin decisions reflect a deliberate effort to move beyond Odisha's traditional reliance on mining and agriculture and build a services economy with deeper geographic spread.

Policy Backdrop

The cabinet also approved amendments to the Odisha Industrial Policy, 2022, the state's primary framework for manufacturing incentives that offers capital subsidies and single-window clearances to new industrial units. The revised policy is aimed at accelerating industrial expansion by specifically targeting districts that currently have little to no industrial presence. Under the amended framework, industries are to be established in 15 districts that have so far remained outside the state's manufacturing map, a move that directly addresses long-standing regional imbalances in economic activity. Odisha has pursued successive industrial policies over the past decade to widen its investment base, and this amendment continues that lineage with a sharper focus on lagging geographies.

Stakeholders and Impact

Perhaps the most targeted welfare measure in the package is the approval of ₹210 crore-plus for the Women Workers' Hostel Development Project at Kalibeti Industrial Estate in Khordha district. Khordha, adjacent to the state capital Bhubaneswar, hosts several industrial estates and is a focal point for manufacturing activity in the region. The hostel project is designed to provide safe, affordable accommodation for women employed at the estate, addressing a persistent barrier to female labour-force participation in industrial zones. Stakeholders across tourism investment, women's workforce inclusion, and industrially backward districts stand to benefit directly from the three-pronged cabinet package.

What's Next

Implementation will be the key test for all three decisions. The Land Bank for Hospitality Infrastructure Scheme will require active land acquisition and allocation processes before private investors can be brought in, while the timeline for hostel construction and occupancy at Kalibeti is yet to be publicly detailed. Progress on attracting investment proposals to the 15 targeted districts will serve as an early indicator of whether the industrial policy amendments translate into on-ground activity. Odisha's ability to coordinate land availability, investor outreach, and worker infrastructure simultaneously will determine how quickly these approvals move from policy to practice, and whether the state can cement its position as a leading investment destination in eastern India.