Tourism needs the help to rebuild from scratch

Australian Chamber – Tourism welcomes the announcement by the Government to open access to loans of between $250,000 and $50 million under a new capital facility to be administered by Export Finance Australia.

“This facility for Australian exporters will save some assets vital to restarting Australian tourism when the time is right,” Australian Chamber – Tourism Executive Chair John Hart said.

“The many previously profitable tourism businesses who, due to COVID-19, are unable to gain finance from commercial sources need a facility such as this. Tourism will be rebuilding from a standing start once the COVID restrictions are wound down and will need strong products and supply chains to restart.”

“In our letter last month to the Minister for Tourism Simon Birmingham, we stressed the importance of core tourism assets and businesses too important to fail.  We need to do everything we can to ensure these businesses stand ready to offer their tourist-drawing attractions once again.”

“The devastating state of Australian tourism is demonstrated by Overseas Arrivals and Departures as at February released by the ABS today. While February was only at the start of the COVID-19 border closures, the data shows a decrease of 26% compared to the same month a year ago.

“Tourism arrivals from China say it all – only 21,000 in February 2020 compared to 206,000 the previous February.”

“Tourism and events is without doubt the worst affected sector in the economy and needs significant support from Government to position it for the restart.  It is key to Australia’s economic recovery from  the devastating COVID-19 pandemic.”

“Successfully restarting tourism will depend on programs such as these loans  and other Government support initiatives, as well as the need for detailed planning undertaken now by Government working with industry to put in place building blocks for relaunch.”