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COVID-19 Puts Global Tourism A Stand for More Achievements

We are on track of globalization through tourism system from over the world century by century. The inequality and other negative social issues are improved by targets of Global Goals (17 SDGs4tourism) in the Journey 2030.

Does Covid-19 lock all tourism achievements and efforts?

How do we stand to fight the virus to save our life and the economy?

That is all about what we have to react to. The duty is for all.

One of the proactive responses to pull vulnerable tourism sectors out of threats is financial supports from governments and billionaires.

Australia

The Australian Government’s Economic Response includes a dedicated $1 billion fund to support sectors, regions, and communities disproportionately affected by the economic impacts of the coronavirus, including those heavily reliant on industries such as tourism, agriculture, and education.

Support from this fund specifically for tourism will include the waiver of fees and charges for tourism businesses that operate in the Great Barrier Reef Marine Park and Commonwealth National Parks.

Cambodia

Hotels and guesthouses in important tourism areas will be exempted from paying tax from February to May 2020.

Pexels / Pixabay

Canada

With the worldwide COVID-19 pandemic resulting in the collapse of the global economy and travel restrictions, the Canadian Indigenous tourism industry is experiencing an unprecedented contraction. The Indigenous Tourism Association of Canada (ITAC) will work collaboratively with Indigenous tourism businesses and Provincial, Territorial Indigenous Tourism Organizations (PTITO) to advocate for accelerated funding, tools and supports necessary to recover from COVID-19 and grow the Indigenous tourism industry again in our country.

Funding Available: This program is intended to assist as many Indigenous tourism businesses as possible from across Canada. There are limited funds available and therefore the funding amount for any one applicant will be up to a maximum of $25,000.  Due to the high volume of applications anticipated, ITAC may present an offer less than the full requested amount.

Hong Kong

The tourism sector accounts for about 4.5 per cent of Hong Kong’s gross domestic product and employs around 260,000 people. The government announced relief measures worth HK$137.5 billion (US$17.7 billion) to help businesses and people crippled by the coronavirus outbreak to stay on their feet.

Russell_Yan / Pixabay

Indonesia

Through the first package, US$6 million was designated to local airlines and travel agencies and more than US$10 million was allocated towards marketing and promotion activities for Indonesian tourism destinations.

The package also provided US$27 million worth of discounts for domestic tourists visiting one of the 10 tourist destinations promoted by the government. This equated to a 30 percent discount for flights from March to May 2020.

Hoteliers and restaurants located in one of these 10 destinations will also have their taxes waived for the next six months.

Malaysia

Businesses in the tourism industry, hotels, airlines, and travel agencies will be given a deferment of their monthly tax installments for six months starting April 1, 2020. There is also travel discount vouchers worth 500 million ringgit (US$113 million) to encourage more domestic tourism.

Morocco

Injections into Morocco’s COVID-19 Fund, Billionaires’ Aid Surpasses MAD 10 billion.

Regions are also participating in the solidarity initiative with a financial contribution of MAD 1.5 billion.

The fund will cover the costs of upgrading medical infrastructure and additional means to address a possible future emergency. The fund will also preserve employment and support the national economy and vulnerable sectors, including the tourism sector.

picjumbo_com / Pixabay

Scotland

Rural Economy and Tourism Secretary Fergus Ewing has pledged financial support following the closure of businesses including cafes, pubs, restaurants, cinemas and leisure centres.

A £2.2 billion package of measures to help business from 1 April has already been announced by the Economy Secretary.

Key actions for hospitality and tourism include a full year’s non-domestic rates relief for the sector, £10,000 grants for small businesses in receipt of the Small Business Bonus Scheme or Rural Relief and £25,000 grants for hospitality, leisure and retail properties with a rateable value between £18,000 and £51,000, including self-catering accommodation and caravans.

Singapore

Another important aspect of the budget is the ‘transformation and growth’ strategy, worth a total S$8.3 billion (US$5.9 billion) in funding. This focuses on the development of local human resources through retraining reskilling, supporting businesses from startup to growth, and growing economic linkages through new free trade agreements (FTAs) and double tax.

Taiwan

The government announced that it will increase financial support for local airlines and tourism companies in the wake of the economic impact caused by the spread of the COVID-19 coronavirus disease. The Ministry will help airlines obtain loans of up to NT$50 billion (US$1.6 billion) instead of the previous NT$30 billion cap, while also subsidizing interest payments on such loans.

NT$10 billion for the tourism industry, with part of that already approved by the central government.

Included in the aid package is a monthly subsidy of NT$100,000 for nearly 4,000 travel agencies for up to three months, with NT$200,000 going to hotels and NT$50,000-NT$100,000 to bed and breakfast operators, to help them through the COVID-19 crisis.

There are also direct financial subsidies for employees in the travel sector of NT$10,000 per person per month, for three months, for up to 140,000 people.

The South African Government 

The Government has implemented various interim measures to curb the immediate and longer-term effects of the COVID-19 pandemic on businesses and individuals.

The Department of Tourism has made an additional R200 million available to assist SMMEs in the hospitality and tourism sector across all nine provinces and various tourism sub-sectors in the following categories:

  • Accommodation;
  • Hospitality and related services; and
  • Travel and related services.

Preference will be given to SMMEs in rural areas and townships and those owned by women, young people and people with disabilities. To be eligible for assistance, the SMME must satisfy the applicable qualifying criteria.

The USA

Washington DC’s official convention and sports authority, today announced an $18 million hospitality and tourism relief package to address the impact of COVID-19 pandemic. This critical initiative is designed to provide emergency funding to help DC’s local hospitality and tourism industry that is in dire need of immediate support. The relief package, approved by Events DC’s Board of Directors, will provide support to restaurants, hotels and undocumented workers in Washington, DC.

The full relief package includes:

  • $5 million for hospitality and restaurant recovery efforts, inclusive of both worker and operator relief;
  • $5 million for hotels recovery efforts, including both worker and operator programs;
  • $5 million for undocumented workers across Washington, DC; and
  • $3 million dedicated to destination marketing efforts, with the focus first on bringing visitors back to DC

Vietnam

The government will delay the tax payment deadline for companies in agriculture, footwear, automotive, aviation, textiles, electronics, food processing, and tourism, among others, for five months. This is estimated to be worth VND23 trillion (US$974) million in taxes.

 

Hanni Tran

Director of Asia, Global Tourism Forum

globaltourismforum.org

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