Economy Minister Natia Turnava presents anti-crisis plan to relaunch tourism
By Nika Gamtsemlidze
Monday, May 11
The administration of the Government of Georgia held a presentation of the anti-crisis plan for the implementation of tourism at the meeting of the Economic Group within the framework of the Inter-Agency Coordination Council headed by the Prime Minister.
The plan includes targeted assistance to the tourism sector in the third phase and phases of the sector's implementation. Natia Turnava, the Minister of Economy and Sustainable Development, spoke in detail about the new stage of the sector's assistance within the framework of the anti-crisis plan to launch tourism.
According to the plan, a new phase of assistance to the tourism sector will be launched in May 2020, according to which the accommodation facilities will be exempted from the 2020 property tax, and by the end of 2020 the income tax will be deferred.
At the same time, the loan will be subsidized for 6 months if their turnover does not exceed 20 million GEL, the state will subsidize 80% of the interest expense of the first 5 million GEL on such facilities.
In addition, the amount of co-payment for the accommodation of tourist facilities will be subsidized, as well as the introduction and implementation of UNWTO recommendations. As for food outlets, they will be exempt from the 2020 property tax, the income tax will be deferred until the end of the year, they will be able to use the credit-guarantee scheme and the government will help them implement and implement UNWTO recommendations.
The anti-crisis plans to relaunch tourism also provide benefits for travel companies and guides. In particular, they will be exempt from property tax in 2020, income tax will be deferred until the end of 2020, the bank guarantee interest will be subsidized for 6 months, as well as the amount of co-participation in tourism exhibitions will be subsidized, in addition, other types of assistances will also be applied.
The budget for the third phase of the anti-crisis plan to launch tourism will total GEL200 million. In addition to the tax benefits, GEL60 million will be spent from the state budget to subsidize hotel loans and about 3,000 hotels will benefit from this support, and it is also planned to allocate GEL5 million to support travel companies and guides.
According to the Minister, due to the effective management of the epidemiological situation, Georgia is considering opening a new tourist season with a new competitive advantage as a safe destination.
According to the plan, the activation of tourism will be carried out in three stages.
In the first stage of preparation, security standards will be introduced in the industry, private sector promotion in their implementation, creation of safe corridors between countries, conducting an international marketing campaign with the slogan "Georgia - a safe destination" and others.
The second phase, which will begin on June 15th, aims to activate domestic tourism and create safe tourist zones.
In the third stage - from July 1st, international tourism will be launched. In particular, the opening of land and air borders in accordance with safe corridors and the gradual restoration of flights.
