The five-day festival, which will be organised at a ground near Red Fort, will witness states exhibiting their cuisine, classical dance, folk dance and art and craft, among their other cultural highlights, a source said.
"The festival is likely to be inaugurated by Prime Minister Narendra Modi late afternoon on January 26," the source said, adding that the festival will be on the lines of the 'Festival of India' that are organised overseas.
"Tourism and Cultural Minister Mahesh Sharma is himself monitoring the preparations for the festival. If the festival turns out to be successful, then similar events would be organised at different state capitals," the source added.
Entry will be free for the festival.