HAN demands to prioritize tourism revival on the upcoming budget

Kathmandu: Hoteliers have called for a comprehensive tourism revival plan to protect and promote the industry.

Entrepreneurs have demanded a special address from the budget saying that the hotel industry, which was hit by the global epidemic of covid-19, has been disrupted due to the new Corona variant.

As this business, which has a direct connection with human activities and the world, is also very sensitive, the hotel and tourism industry cannot be compared with other sectors, said HAN President Srijana Rana.

Entrepreneurs demand that the government should protect the hotel business as it is multi-faceted and has a direct impact on the social, economic and other sectors.

HAN has demanded the establishment of Covid Special: Tourism Revival Fund and Tourism Facilitation Fund through the budget of the Fiscal Year 2021/22 for the hotel industry.

Stating that hotels and tourism industry could not return to normal as soon as the Corona epidemic is over, the first priority of the budget is to focus on its protection and promotion as a highly affected industry.

Stating that the presence of the government will be important in times of crisis, the hoteliers have also demanded to set up a business protection fund to revive the severely affected hotel industry and employment protection fund for its dependent employees and workers.

Entrepreneurs have also demanded a special tax concession for three years for the renovation of the hotel, 50 percent exemption in the current value added tax until the hotel returns to normalcy and full waiver of delay charges.

It has been demanded to waive the direct taxes levied by the federal, provincial and local governments on the hotel sector for the next three years. Entrepreneurs have also demanded to make arrangements to pay the principal interest in installments for a long period of time as there is a temporary relief as the time to pay the principal interest has been extended for two years but the income is zero.

Entrepreneurs have also complained that the Corona epidemic has put their very existence at risk. In this situation, whether the hotel business can be sustained or not, there are businessmen among the unjust, said Rana, adding that this has created employment problems for millions of dependent employees and workers.

According to Han, some businessmen have fled due to the business vacuum of more than 15 months. Han also warned of a long-term investment flight as the attraction to multi-faceted businesses such as hotels and tourism declines.

Entrepreneurs have informed that different levels of hotels have been providing the prescribed amount as per the agreement reached with the trade unions for the livelihood of the workers and employees.

Although this has brought some relief to the workers and employees, the entrepreneurs have demanded to facilitate the withdrawal of some of the amount deposited in the Citizens’ Investment Fund at this time without any interest and non-refund.

It has been demanded to provide health facilities to the hotel staff and workers who are not able to contribute regularly by being listed in the Social Security Fund and to provide financial assistance by contributing to the Social Security Fund on behalf of the Government of Nepal as last year.