Published on : Saturday, December 5, 2020
Federation of Associations on Indian Tourism & Hospitality (FAITH), the joint body of 10 travel trade and trade and hospitality industry associations in India, has urged the Ministry of Finance once again to set up a bridge/transition fund for assisting the tourism sector, which is in deep financial stress as a result of COVID-19 pandemic.
FAITH said that such a fund can facilitate tourism, travel and hospitality companies to draw down on a direct benefit transfer basis on an interest-free basis which can be used for salaries and for meeting operating costs till the vaccine comes into effect.
This shortcoming in the tourism enterprises may be adjustable for over 5 years against their GST & income tax liabilities, said FAITH.
Since rolling out of vaccination sounds hopeful and in progress, it is important that the government supports businesses so that they survive the transition period, said FAITH.
This tourism industry contributes approximately 10% to the employable workforce of India.