Egyptian Tourism Promotion Board - Measures taken by the Government to support the tourism industry
The Egyptian Government is working diligently to mitigate the effects of the Coronavirus on this vital sector. H.E. President Abdel Fattah El-Sisi issued several presidential directives aimed at supporting tourism whilst protecting the rights of workers throughout the crisis. The sector’s support measures include dropping real estate tax on hotel and tourist establishments for six months. Payment of all dues on tourism and hotel establishments are to be postponed for three months without fines or delay benefits.
H.E. the President has requested the Central Bank of Egypt (CBE) to offer tourism facilities low-interest funds, especially for payment of salaries of employees.
H.E. the President’s directives also include seizing the halt period to upgrade the infrastructure of tourism facilities in order for them to be ready to receive Egyptians and foreign tourists as soon as this situation recedes. In the same context, the Egyptian Cabinet announced its approval of a six-months rescheduling and deferral plan on utility payments (electricity, water and gas) for tourist establishments and private airlines. The payments shall start from October 2020.
Moreover, the Central Bank of Egypt (CBE) has launched EGP 50bn financing initiative to support tourism, reducing the interest rate on it from 8% to 5%, as well as an initiative directed to the payment of salaries and operating expenses. As part of the initiative, banks can grant credit facilities with a maximum two-year repayment period, in addition to six-month grace period starting from the grant date, during which banks can capitalise unpaid interests. In addition to that, the Ministry of Tourism and Antiquities has exempted all bazars and cafeterias located in archaeological sites from paying rent until tourism safely resumes.
The Minister of Tourism and Antiquities met with the Minister of Petroleum and Mineral resources, and it was agreed to grant additional reductions to the price of aviation fuel, bringing the total value of the discount to 10 cents per gallon, which will be applied permanently once the tourism movement and air-traffic are back.