SL tourism chamber appeals to PM for industry relief

The Chamber of Tourism and Industry, Sri Lanka has urged Prime Minister Mahinda Rajapaksa for compensation for the industry and its workers following the suspension of tourism in Sri Lanka owing to COVID-19.

In a letter to the PM, chamber President A.M. Jaufer has said that while tourism is the worst-hit sector today, this sector was subjected to a lot of hardships during the recent past which included the 30-year old ethnic conflict, the tsunami and the April 2019 bombings of hotels and churches. 
“While welcoming the relief package given by the Government and in view of the second wave of the epidemic now hit all across the island the chamber urged the Government to consider further relief to the stakeholders of the tourism industry, as follows: 
1.    Tour Guides and Tourist Drivers were given a relief package as a onetime payment of Rs.20,000 and 15,000 respectively; since there has been no tourist business happening we would like to suggest the same payment to be continued for another six months till the tourism industry resumes operations. 

2.    Tourist hotels around the island are the biggest hit due to the outbreak. A moratorium on loan and vehicle leasing payments was given to the tourism sector for one year. Since there has not been any improvement in the industry it is suggested that the moratorium to be extended for to a further one year. Although there was a relief given in capital payments the banks have been charging interest payments. The industry has been paying an interest rate from 9% to 15% and it is suggested to totally remove interest payments or to reduce interest rates to 4%.

3.    Since only some of the employees in the hotel and travel sector are members of EPF/ETF funds, the majority of employees who are contract/temporary category (Hotel employees, Boat operators, Surfing operators, Adventure sports operators and full time tourist facilitators) do not receive any compensation from the state, therefore it is suggested that a suitable scheme to be worked out to support those who are not covered by the EPF/ETF schemes.

4.    Sri Lanka has 12 domestic flight operators whose flights are already grounded. It is requested to extend the financial relief offered to them till normalcy returns.

5.    Consideration should be given to assist indirect suppliers to the industry such as suppliers to hotels, those engaged in Eco tourism, Adventure Tourism, manufacturers of handicrafts etc.

6.    We also suggest the government to introduce a pension scheme for the employees of the industry.

7.    Consumers were given a relief of two months on paying electricity and water bills; we propose to extend this period for further three months.

8.    There are around 7000 to 10,000 foreign tourists still stranded in the country. They are facing hardships due to non-availability of funding to pay for their accommodation and meals and difficulty to pay the high cost of air fare in order to return to their mother countries. Therefore it is suggested that the respective embassies to be contacted through the Ministry of External affairs and make arrangements to repatriate them to the respective countries.

9.     The relief provided under the Central Bank scheme through capital loans at 4% interest has been terminated and we suggest that the scheme to be continued since the business community is still facing difficulties,” the chamber statement said.