Published on : Thursday, May 21, 2020
The travel, tourism and hospitality sectors were upset as well as disappointed over what they said was the silence of the government on various financial steps to keep the sector from massive decline or include it in the Rs. 20 lakh crore package declared last week by the Union government.
Industry bodies have explained that travel, tourism and hospitality in India accounts for about 10% of the GDP. However, it didn’t find any mention in the government’s plans for economic revival. The Federation of Associations in Indian Tourism and Hospitality (FAITH) stated that regular discussions between the industry ministries turned futile, leaving them in “shock and disbelief”.
To quote FAITH CEO, Aashish Gupta, “Direct and indirect and indirect economic contribution of the tourism industry in India which includes airlines,hotels and others is estimated at about 10% of India’s GDP. No cash flow is expected for many quarters over FY20-21 for key segments like international inbound and outbound travel. What will the companies do? We are now looking at large-scale bankruptcies and job losses across cities and towns.”