Benin with tourism incentives for hotels, tour operators and travel agents
The Beninoise government has rolled out series of COVID-19 measures to mitigate the socio-economic effects of the COVID-19 pandemic on the travel and tourism sector in the country.
The government in a statement said travel agencies in the country are exempted from paying for their office rents for the next 3 months, and a forfeiture of 3 months electricity bill. In addition, the government stated that 70% of 3 months salaries of hotels and tour operators workers that are legally engaged will be borne by the state adding that loans with zero interest to be refunded in 3 years’ time.
The statement said: “In order to understand objectively the magnitude of the impact of the crisis, the Government organized exchanges with the various economic actors. It emerges from this participatory approach that several economic agents are affected, in particular artisans, businesses as well as poor and extreme poor households.
“In addition, in order to promote the effectiveness of the barrier measures taken by the Government, several activities have been suspended. This has had negative consequences on the viability of the affected companies. “To mitigate the effects of these shocks, the Government has therefore initiated a program to support the productive sector. This includes measures in favor of formal businesses, artisans and small informal service trades as well as the vulnerable, the poor and the extreme poor.
“Evaluated at CFAF 74.12 billion, the measures contained in the said program are articulated in three main points. It is:
“1, support amounting to 63.38 billion FCEA for the benefit of businesses.This allocation is intended to cover, as the case may be, 70% of the gross salary of employees declared over a period of three months, the reimbursement of VAT credits, the exemption from payment of the tax on motor vehicle for those who have not yet paid it for the year 2020 or for its conversion into a tax credit, for the year 2021, for those who have already paid it, for the payment of commercial rents over three months for the benefit of declared travel agencies.
“It is also intended to take full charge of electricity bills for 3 months for hotels and travel agencies for CFAF 4.1 billion.
“This point also includes a bonus fund of 30 billion FCFA to support a financing line of 100 billion FCFA at zero rate for the benefit of targeted economic actors via banking establishments and decentralized financial systems (SFD). Credits to be granted via banking institutions at zero percent (0%) interest rate will be repayable over a period of three (3) years maximum. As for the credits granted by the DFS, they will be repayable over a period of one year maximum.
“2, support of 4.98 billion FCFA intended for artisans and those exercising small trades.
“It takes into account 55,000 people in these categories (activities such as: hairdressing, sewing, welding, carpentry, small sellers, etc.) who have registered on the digital platform opened for this purpose, as well as in town halls and promotion centers social.”
