It refers to a person who lives in another person's home and pays for the stay, food, laundry and other facilities provided by the owner.
A PG or 'paying guest' is a place where you literally pay to be a guest at someone else's house. They give you food and space to live, while you pay them a monthly rent.PG stands for paying guests. It is a rental accommodation wherein a person has to pay a specific amount to live at the property and share facilities being offered with other people living in the house.
PG refers to when a person stays in someone else's house/property and pays rent for the accommodation and facilities available with it, such as electricity, water, housekeeping, and food at times.