Tourism Economic Stimulus May09

8/4/2019 Tourism Economic Stimulus May09

1/50

World Tourism Organization

Tourism and Economic Stimu lus Initial AssessmentMadrid, 6 May 2009

Capitn Haya 42 28020 Madrid(34) 91 567 81 00(34) 91 571 37 33 [email protected]


2/50

Tourism and Economic Stimulus Initial Assessment

2 World Tourism Organization (UNWTO)


3/50


World Tourism Organization (UNWTO) 3

TABLE OF CONTENTS

1. About this document 4

2. Tourism and the Economic Crisis 5

2.1 Tourism in the Face of the Economic Crisis 5

2.2 UNWTO Response 5

3. Time for Travel Facilitation 6

4. Economic Stimulus Measures 10

4.1 Fiscal Measures 10

4.2 Monetary Measures 11

4.3 Marketing Measures 11

4.4 Human Resources Measures 13

4.5 Travel Facilitation 13

4.6 Public/Private Partnerships (PPPs) 14

4.7 Transnational Cooperation 15

4.8 Environmental Measures 15

Annexes

Annex 1 List of Measures by Region/Country 17

Annex 2 Questionnaire 49


4/50



1. About this document

The current initial assessment aims to provide information on the response measuresbeing implemented by countries around the world to mitigate the impact of theeconomic crisis on tourism.

It is part of UNWTO programme in the area of response to the current crisis, namely inthe component of stimulus. This comprises an ongoing process of collecting,monitoring and evaluating the response actions and measures undertaken bygovernments to address the economic crisis.

This initial assessment includes information on around 50 countries worldwide. Theinformation has been collected through a questionnaire sent to all UNWTO MemberStates by the Secretariat during the months of March and April 2009 as well asthrough online sources.

A first full report on tourism and economic stimulus will be published by July 2009.Detailed information on stimulus measures by country is available in UNWTOswebsite at www.unwto.org/trc and will be updated on a regular basis.

Countries which are not featured in this initial assessment or on UNWTO page onResponse Actions are kindly invited to fill the survey in annex II and send it to theUNWTO Secretariat at [email protected].


5/50



2. Tourism and the Economic Crisis

2.1. Tourism in Face of the Economic Crisis

World economy faces an unprecedented crisis, triggering one of the most severerecessions in generations. The worlds GDP is forecast to decline by some 1.3% in2009, according to the International Monetary Fund (IMF, WEO April 2009), theexports have been dramatically reduced and all advanced economies are inrecession. And, even the emerging economies, which at the beginning seemed toresist better, are rapidly facing the impact of the economic crisis.

Tourism, though resisting better than some sectors, has not been immune. Marketsstarted to deteriorate by mid 2008. UNWTO market monitoring indicates that theplummeting results of international tourism during the last part of 20081 have

continued during the first months of 2009. International tourist arrivals are estimated tohave declined by as much as 8% in the first two months of 2009, bringing overallinternational tourism to the level of 2007. This trend is confirmed by data on airtransport by the International Air Transport Association (IATA), which shows a 9.1%decline in air passengers traffic in the first three months of this year, and data on hoteloccupancy rates which, according to Smith Travel Research (STR), are down bynearly 10% or more in all world regions in the period January-March 2009.

2.2. UNWTO Response

Against this background, UNWTO has deployed its efforts to provide the sector, and inparticular its Members, with the necessary support to help them endure thesechallenging times. UNWTO response is focused on three interrelated pillars:

- Resilience: to support the sectors immediate response UNWTO established aTourism Resilience Committee (TRC) to provide a framework for better marketanalysis, collaboration on best practices and policymaking. The Committee,which met twice this year (in January and March), is open to all UNWTOmembers and key industry partners and aims to be a focal point for crisisresponse for the tourism sector around the world. The Committee will hold a

pivotal meeting at UNWTO General Assembly in Kazakhstan in October 2009where a detailed Roadmap for Recoverywill be presented and discussed (moreinformation and related documents at www.unwto.org/trc ).

- Stimulus: UNWTO advocates tourisms priority inclusion in general economicstimulus measures and urges governments to put Tourism at the core of theirstimulus packages because the jobs and trade flows from a strong tourismsector, as well as business and consumer confidence in travel, can play a bigpart in recovery. UNWTO stresses that spending on tourism can pay massivereturns across entire economies due to the contribution of the sector to exportsand employment. This message has been promoted by UNWTO during the

1See the UNWTO World Tourism Barometer, January 2009and UNWTO Word Tourism Barometer

Intermediate Updated, April 2009(http://unwto.org/facts/eng/barometer.htm)


6/50



G20 Summit in London last April and will continue to be so within the G20paradigm (see www.unwto.org/G20.php?lang=E)

- Green Economy: tourism must be at the forefront of the transformation to theGreen Economy contributing with carbon-clean operations, jobs in environmentmanagement and energy-efficient building.

UNWTO is working on a Roadmap for Recoverywhich aims to be a unique positioningof the sector with respect to the economic crisis and its role in the stimulusprogrammes and in recovery (see www.unwto.org/pdf/brochure_TRC_roadmap.pdf).

3. Time for Travel Facilitation

As stressed by UNWTO on the occasion of the G20 Summit Tourism means Jobs,

Infrastructure, Trade and Development.

Many countries have already recognized the importance of tourism to the economyand have therefore act swiftly in developing stimulus measures to sustain demand,support tourism enterprises and maintain/increase employment. First, tourism is oneof the largest employment sectors in most countries and a fast entry vehicle into theworkforce for young people and women in urban and rural communities. Secondly,tourism is a vital source of foreign exchange for many economies, namely developingcountries. And finally, tourism has a strong multiplier effect on other crucial sectors ofthe economy like manufacturing or agriculture.

Tourism is a primary vehicle for job creation and economic regeneration and thus, anymeasure to boost promotion, simplify regulations, build infrastructure and rationalizetaxes is a step forward towards the resilience of the sector, and ultimately, ofeconomic recovery.

National stimulus packages for tourism recovery are focused on promotion andmarketing, but also in many countries in fiscal and monetary policy measures. Thesecomprise increasing public expenditure, reducing taxes, and the use of availablemonetary policies such as new credit lines and mutual warranty systems, especiallyfor SMEs.

For analysis purpose in this initial assessment, the measures, for which information isavailable so far, have been classified into eight broad categories. These are asfollowing:

1. Fiscal measures2. Monetary measures3. Human resources measures4. Marketing measures5. Travel facilitation6. Public/private partnerships7. Environmental measures

8. Transnational cooperation


7/50



As it is clear from the table 1, most countries have implemented measures in theareas of marketing and public/private partnership, as these are the areas wherenational tourism administrations/organizations have a direct and immediate mandateand can act more rapidly. It also shows that especially in times of crisis, thecooperation and synergy between public authorities and the private sector is highlyvaluable.

A significant number of countries have also developed measures of fiscal and/ormonetary nature recognizing the necessity for tourism businesses to access credit andincrease their liquidity in order to keep their operations and maintain jobs.

Finally, travel facilitation measures such as applying visa on arrival, decreasing thecost of visas or, in some cases even, exempting visa requirements for a certainnumber of source markets are major steps towards the resilience of the sector, andthe economic recovery at large.


8/50

Table 1. Stimulus Measures for Tourism Recovery by Country

REGIONS FISCAL MARKETING MONETARYHUMAN

RESOURCES PPPSTRANSNATIONAL

COOPERATION

AFRICA

Morocco X X XSouth Africa X X X

Tunisia X X X

AMERICAS

Argentina X X X X

Bahamas X X X X

Barbados X X X

Bolivia X X X

Canada X X X X

Jamaica X X X

Nicaragua X X X ASIA AND THEPACIFIC

Australia X X

Brunei Darussalam X X

Bhutan X X X

Cambodia X X X

China X X X Hong-Kong(China) X X X X X

India X X X X

Indonesia X X XIran, Islamic

Republic of X X X Japan X X

Macao (China) X X X X X

Malaysia X X

Nepal X X X X

New Zealand X


9/50

REGIONS FISCAL MARKETING MONETARYHUMAN

RESOURCES PPPSTRANSNATIONAL

COOPERATION

Pakistan X X X X X X

Philippines X X X X

Republic of Korea X X X X

Singapore X X X X XSri Lanka X X

Thailand X X X X X

Vietnam X X X X X

EUROPE

Bulgaria X X X

Croatia X X X

Cyprus X X X

France X X

Germany X X X X

Hungary X X X

Israel X X XItaly X X X X

Norway X X

Portugal X X X

MIDDLE EAST

Egypt X X X X

Jordan X X X X

Oman X X

Qatar X

Saudi Arabia X X X X X XSyria ArabRepublic X X X

Yemen X


10/50



4. Economic Stimulus Measures

4.1. Fiscal Measures

Many countries have taken fiscal measures to ease the pressure on businesses andconsumers. Most measures in this area cover the reduction or suspension of specifictaxes or infrastructure development/improvement, namely:

Air transport tax reductions or exemptions including the reduction of landingand parking fee at airports;

Decrease or suspension of taxes in accommodation and/or restaurants; Direct investment in tourism infrastructure, particularly in accommodation,

leisure facilities, tourism resorts, national parks and cultural attractions; Development of general infrastructure such as the construction and

improvement of airport and port facilities, the extension of road and railwaynetworks and the advancement of the accessibility to less developed areas,

which also benefit tourism.

Example 1.Macau (China) has suspended the tourism tax (5%) for restaurants.

Example 2.As a part of its economic stimulus package, the Netherlands has revoked the airportdeparture tax of 11.25 euro for short-haul flights and 45 euro for long-haul flights that

it had introduced in July 2008.

Example 3.France is in process of decreasing its VAT rate for restaurants from 19.6% to 5.5%.This new rate will be effective 1st July 2009 at the beginning of the high tourismseason.

Example 4.As over 85% of travel to the Egypt is generated by air, the Ministry of Tourism isproactively working to strengthen its alliance with the airline industry. One of the keymeasures being taken is the introduction of a new formula for take-off and landingfees for new operators and encouraging the reduction of those fees for existingoperators to and from all airports in Egypt.


11/50



4.2. Monetary Measures

As part of their monetary stimulus packages many governments are releasing fundsto create liquidity, provide businesses access to credit and combat unemployment.More than 30 countries have so far implemented monetary measures to support

tourism. These include: Special credit lines, and exceptional micro finance schemes, providing

resources for the tourism industry; Refund of guarantee deposits for travel agencies and tour operators; Financial benefits for air and sea transportation companies to operate routes

to remote and underdeveloped areas and small islands; Support to foreign investment as well as external borrowing.

It should be mentioned that in many countries the existing transversal monetarymeasures which have been implemented to support businesses, namely small andmedium size enterprises (SMEs) are also benefiting significantly the tourism sector

which is made mostly of such companies.

Such transversal measures are: Establishment of special credit lines for SMEs; Issuing of venture capital for real estate investments projects that will affect

mainly the accommodation and restaurant sector but also may increase theinvestments on new and innovative tourism products and services.

Example 1.

The Jamaica Tourism Board (JTB) offered a US$ 50 million loan facility to support itsdomestic transport industry. The goal is to assist contract carriage operators tomaintain and purchase vehicles.

Example 2.As part of its stimulus package to face the global economic downturn, Argentina hascreated a soft credit line of 300 million pesos to encourage refurbishment andextension works in the hotel sector through its National Bank.

Example 3.Thailand has implemented a Micro Credit Scheme, in close cooperation with nationalbanks, providing special loan advantages for small and medium businesses. Lendingperiod will be for two years with -3% of MLR (Median Low Rate) of interest, -1% fromcooperated banks and -2% from the budget allocated by the government.

4.3. Marketing Measures

Marketing actions were highly ranked on the agenda of almost all countries. Sincenational tourism administrations/organizations generally have the full responsibility of

tourism marketing activities it is easier to develop and implement specific advertising


12/50



and promotional activities than fiscal and/or monetary measures, where a broadercollaboration with other government areas is required.

Most of the measures reported in this area include the increase in promotionalbudgets as well as the development of special campaigns targeting nearby markets,in particular the domestic market. Overall, measures in the marketing area include:

Allocation of extra funding for promotion namely for advertising campaignsand e-marketing, aimed particularly at nearby and domestic markets;

Promotion of domestic destinations and the encouragement of local visitorsto make short trips at home;

Discounts on entrance fees in local attractions and facilities; Promotion of value added or reduce price package in major source markets; Promotion of social tourism and group travelling for holidays inside the

country or granting of incentives and special discounts for travelling in off-peak season in order to decrease seasonality;

Example 1.The Australian Government has launched an innovative program entitled No LeaveNo Life aimed at encouraging Australian workers to use some of their 123 milliondays of stockpiled annual leave for holidays in Australia.

Example 2.Portugal has developed a new promotional programme aimed at the domesticmarket - this includes a comprehensive advertising campaign and a dedicated

website where private sector partners can offer their special packages for thedomestic market.

Also, specific market segments like independent and special interest travellers, youthtravellers and second home owners have been identified as key target segments formany countries. As a result, there has been an increase in the promotion of nicheproducts and services such as ecotourism, rural or adventure tourism.

The promotion of events in the areas of culture and sports and of the meetingsindustry also appears high in the list of marketing measures adopted. Destinations

such as South Africa or Hong-Kong (China) are taking advantage of forthcomingevents such as the 2010 FIFA World Cup and the East Asian Games, respectively, topromote their tourism, or promoting new ones.

Example 3.Hong Kong (China) has decided to earmark an additional HK$ 150 million (US$19.3 million) for promotion and marketing initiatives to attract more internationalconventions and exhibitions over the next five years. In addition, Hong KongFinancial Secretary announced Budget earmarked US$ 12.8 million to assistorganisers to host more attractive events in Hong Kong (China) in the areas of arts,

culture and sports over the next three years.


13/50



4.4. Human Resources Measures

Undoubtedly, the competitiveness of the tourism market is getting higher in periods ofcrisis like the one the world witnesses. Therefore, the quality of services is of crucialimportance for the tourism product. It is fairly certain that tourism more than any other

sector is highly depended on the performance of its human resources thus, severalcountries have also focalized their stimulus measures on actions and measures inthe area of human resources.

The actions and the measures in the area of Human Resources include: The creation of new full-time and part-time jobs in tourism particularly

addressed to minority and less advanced economically groups like womenand students;

The development of special programs to increase the awareness of youngpeople on tourism as a rewarding career option;

The organization of training seminars for tourism professionals and the

improvement of recruitment systems by simplifying the procedures andtargeting at qualified labour;

The development of capacity building campaigns and technical assistanceprogrammes for the tourism industry focusing on modern marketing andbusiness techniques, managerial techniques and IT for tourism enterprises.

Example 1.The Tourism Department of the Philippines announced the creation of 3,000 newjobs in 2009 in support to governmental program of one million jobs in the next first

six months of 2009.

Example 2.The Government of Pakistan has granted working visas to foreign technical andmanagerial personnel for the purpose of transferring skills and know-how. Thesevisas can be issued for a period up to 5 years by Board of Investment (BOI). TheMinistry of Tourism is a member of the committee responsible for issuing the workingvisas.

4.5. Travel Facilitation Measures

Many countries have realized that the simplification of travel regulations, namely thereduction of visa fees and the facilitation of entry procedures can be a keycompetitive factor at the moment and help built consumer as well as businessconfidence.

The measures and actions related to travel facilitation include: Visa facilitation and visa fee exemptions or granting visa on arrival for

visitors from neighbouring countries, other source markets or special targetgroups like visiting friends and relatives;

Simplification of travel regulations and minimizing the restrictions and rulesfor incoming tourists.


14/50



Example 1.To streamline the procedure for mutual travel, the exemption from entry visa betweenCambodia-Lao PDR has been implemented, and in October 2008, Cambodia-Vietnam have signed the agreement on visa exemption for holders of ordinarypassports. In addition, the Cambodia government introduced the policy to provide

Visa-K for Cambodians living overseas to promote Visit Friends and Relatives (VFR)travel.

4.6. Public-Private Partnerships (PPPs)

Public and private partnerships are a valuable tool for tourism development, andeven more in times of crisis. This model has been incorporated into the responseplan for tourism recovery of almost all countries. Many national tourismadministrations have established partnerships with the local tourism industry, but alsowith financial institutions and economic corporations at regional and national level inorder to find solutions for supporting the sector.

These partnerships include: Financial support for the expansion/maintenance of airline capacity; Organization of co-promotional activities with airlines, hotels, travel agents

aimed mainly at hard-selling campaigns in source markets, including value-added/discounted packages;

Discounts or special offers in a wide range of national products, leisureactivities, restaurants, tourism attractions;

Waiving fees for the participation of travel professionals on tourism fairsabroad;

Creation of market monitoring boards comprising representatives ofgovernment and stakeholders within the tourism value chain to closely followup the performance of the sector and its source markets and act accordingly.

Example 1.Germany organized in collaboration with major tour operators and domestic airlineshard selling campaigns focused on traditional source markets

Example 2.The tourism promotion agency for Hungary, Magyar Turizmus (MT), has

strengthened the cooperation with the domestic tourism industry. By analysingcontinually domestic and international tourism flows, studying the travel habits andmonitoring tourism statistics, the MT has developed a co-strategy with tourismprofessional associations focused on neighbouring countries and short haul markets.

Example 3.To beat the current downward trend of international travel, the Korean TourismOrganization (KTO) and VISA Card have work together to present a huge discountpromotion from April 2009 to March 2010. VISA Card users from all over the world

will be eligible for discounts on a range of merchandise, restaurants, leisure activities,and many more of Korea's attractions. During this period, Visa card users can pick up


15/50



a discount coupon booklet that lists all the discount offers available. Locations wherevisitors can save money include SK Telecom Roaming Centres cellular phone rentalservice at Incheon International Airport, shopping centres throughout Seoulsdowntown areas, cosmetics shops, amusement parks, restaurants, cafes, hotels,duty free shops, etc. With at least 60 different offers available, visitors will be able toenjoy the benefits from the moment they arrive in Korea. Visitors who makepurchases with a VISA card, and present the discount coupon booklet, can receivediscounts from 5% up to 50% at participating stores and locations.

4.7. Transnational Cooperation

Some governments focused on the enhancement of regional and transnationalcooperation through the development and the promotion of tourism products anddestinations taking advantage of existing synergies among neighbouring countries.

The transnational cooperation measures include:

Development and promotion of multi-destination itineraries; Organization of cross-boarder events and festivals; Travel facilitation within a specific region such as Central America or the

ASEAN countries; Creation of platforms to exchange know-how and share information on

source markets.

Transnational cooperation measures also include marketing partnerships amongcountries with a common interest in key tourism emerging and long haul markets.The ultimate purpose of such partnerships is to establish co-marketing operationsand corporate selling strategies for travel products and services of different countriespromoting themselves as a unique destination.

Example 1.A marketing partnership among Italy, Spain and France has been initiated in orderto develop corporate tourism products and services and establish a mutual marketingstrategy focused on markets of common interest.

Example 2.Macao (China) used the UNESCO heritage 10th anniversary to increase cooperation

with Hong Kong (China) and mainland China provinces and develop common touritineraries.

4.8. Environmental Measures

According to the UNDP Global Green New Deal2 report, environmental policyactions and investments on green sectors will address not only the environmentalcrisis but most importantly will provide high economic return, particularly for less

2Barbier, Edward. 2009. A Global Green New Deal, UNEP-DTIE. Report prepared for the

Economics and Trade Branch, Division of Technology, Industry and Environment, United NationsEnvironment Programme, February 2009.


16/50



developed economies and poorest countries. Therefore, measures focused on eco-friendly services and products as well as renewable energy and low-carbon use maycontribute to global economic recovery in the long run.

In the short term, most of the countries have focused so far in more immediatemonetary, fiscal or marketing measures as part of their national stimulus packages.However, some countries have announced medium and long term plans for thetransformation to a Green travel industry.

The environmental stimulus measures identified so far include: Supporting the development of systems of low-carbon energy saving

accommodation; Developing carbon offsets program in the sector; Funding eco-friendly tourism infrastructure and revitalizing transportation

aimed at using renewable energies; Organizing and promoting zero energy events like cycling festivals and

walking marathons Funding mechanisms for the development of green tourism products and

services such as hiking, cycling, ecotourism, and rural tourism; Increasing the awareness of tourism professionals and tourists on

environmental issues, climate change and renewable energy by organizingtraining seminars, educational programs and using media andcommunications networks domestically and internationally.

Example 1.The Republic of Korea is seeking to construct a pilot carbon neutral tourismcomplex and adopt eco-friendly plans, support green transportation system andnatural energy. The government has already selected the place and concludedagreements with tourism business for the construction of a car free resort.


17/50



Annex 1 - List of measures by region/country

AFRICA ..................................................................................................................... 18South Africa......................................................................................................................18

Morocco............................................................................................................................18Tunisia..............................................................................................................................18

AMERICAS ................................................................................................................ 19Argentina..........................................................................................................................19Bahamas ..........................................................................................................................20Barbados..........................................................................................................................20Bolivia...............................................................................................................................21Canada.............................................................................................................................21Jamaica............................................................................................................................22Nicaragua.........................................................................................................................23

ASIA AND THE PACIFIC ............................................................................................. 23Australia ...........................................................................................................................23Brunei Darussalam...........................................................................................................24Cambodia.........................................................................................................................25China ................................................................................................................................26Hong Kong, China............................................................................................................27India..................................................................................................................................29Indonesia..........................................................................................................................30Japan................................................................................................................................31Macao, China ...................................................................................................................32Malaysia ...........................................................................................................................32New Zealand ....................................................................................................................33

Philippines........................................................................................................................34Republic of Korea.............................................................................................................35Singapore.........................................................................................................................35Thailand............................................................................................................................36Vietnam ............................................................................................................................38

EUROPE.................................................................................................................... 38Bulgaria ............................................................................................................................38Croatia..............................................................................................................................39Cyprus ..............................................................................................................................39France ..............................................................................................................................39Germany...........................................................................................................................40Hungary............................................................................................................................41Israel.................................................................................................................................41Italy...................................................................................................................................42Norway .............................................................................................................................42Portugal ............................................................................................................................43

MIDDLE EAST............................................................................................................ 43Egypt ................................................................................................................................43Jordan ..............................................................................................................................44Oman................................................................................................................................45Qatar ................................................................................................................................45Saudi Arabia.....................................................................................................................46Syria .................................................................................................................................46

United Arab Emirates .......................................................................................................47


18/50



Response Measures by Country

AFRICA

South Africa

South Africa to take advantage of the 2010 FIFA Football World Cup

South Africa is focusing on the development and support of tourism small business,development of tourism and general infrastructure and vigorous marketing, to beprepared for taking advantage of 2010 FIFA Football World Cup.

See also

http://www1.southafrica.net/Cultures/en-US/bt.southafrica.net/News+and+events/News/Lateral+Thinking+Business+Tourism+and+the+2010+Soccer+World+Cup.htm

Morocco

Moroccos Ministry of Tourism drafts a new plan to protect the Moroccantourism sector

The new plan called CAP 2009 is aimed at keeping Morocco attractive to tourists.A raft of concrete new strategic measures has been adopted to anticipate and limitthe impact of the global financial and economic situation on the sector. CAP 2009also aims to boost operators' confidence in large-scale projects and maintainingcurrent levels of investment. This will enable Morocco to preserve its market share inforeign outbound markets through increased communication and close contact withtour operators, the media and internet.

Additional Information

CAP 2009 will be funded by an increase of 10% (US$ 13.5 million) in the 2009budget. In 2009, Morocco plans to do far better than the global average. The Ministryis hoping to retain its current market share in traditional outbound markets and

conquer new markets. Marrakech, Fes, Casablanca and Agadir have been identifiedas priority regions. Efforts to promote Morocco will be aimed at Europe, the Gulfregion and Russia. The plan includes efforts to develop domestic tourism, boostMorocco's image, encourage tourist loyalty and maintain investments in tourism.

Tunisia

Tunisia allocates additional budget to undertake promotion

Specific tourism response to the economic crisis taken by Tunisias Head of State

includes additional promotional and advertising budget, particularly targeting the


19/50




European market. In addition the measures seek the preservation of historical areas,development of cultural festivals and the implementation of golf courses, as well as

the strengthening of international air transport and the establishment of a program toupgrade hotels.


Measures include:a) Additional budget for promotion;b) Strengthen the international air transport to Tozeur and the domestic air

transport to Tabarka and Tozeur;c) Establish a program to upgrade hotels whilst carrying out the modernization of

vocational training centres in coordination with all parties involved;d) Complete the ongoing projects and golf courses;e) Accelerate the use of historic and archaeological sites and promote large-

scale international festivals;f) Improvement of the aesthetics of tourist resorts and the cleanliness of their

environment.

See also

http://www.tunisia.com/news/aggregator/item/241338

AMERICAS

Argentina

Argentina offers no-interest loans to boost tourism

As the latest part of a stimulus package to face the global economic downturn,Argentina offers no-interest loans to boost domestic tourism.


A cooperation agreement has been established between SECTUR, the chamber of

credit and debit cards and the business associations of the sector. Through thisagreement 500 tourism business including hotels, travel agencies and restaurants,will accept credit card payments with between 3 and 6 instalments without interest.

This measure aims favouring purchases in and toward domestic destinations.Simultaneously, SECTUR will promote the enterprises and products adhered to theagreement.

The country is also giving fiscal and monetary incentives to the sector:a) In the framework of the program Blanqueo de capitales, those who earmark

funds to all types of investments in tourism will benefit from a tax rate

differential of 1%;


20/50




b) In order to encourage the refurbishment and extension works in the hotelsector, the National Bank grants a soft credit line of 300 million pesos.

See also

http://www.eturbonews.com/6697/argentina-offers-no-interest-loans-boost-tourism

Bahamas

Bahamas focuses on infrastructure, capital projects and capitalising on itsproximity to North America

Strengthening of the Bahamas tourism industry via infrastructure and capital projectsas well as capitalising on the Bahamas proximity to North America, have beenannounced among the key priorities for 2009. Infrastructure and capital projectsinclude redeveloping the Lynden Pindling International Airport and dredging theNassau Harbour, which will allow the region to receive the worlds largest cruiseships, capable of accommodating 5,000 passengers. The Ministry of Tourism aims tocapitalise on the countrys close proximity to North America by achieving significantlylower air fares; lower or eliminated airport costs inclusive of customs and immigrationovertime charges; and increasing airlift. Measures include a strategy to add new USAgateways, taking advantage of US immigration and customs pre-clearance facilitiesin New Providence and Grand Bahama. With regards to marketing and promotions,the Ministry has launched advertising campaigns in major markets such as New

York, Philadelphia, Boston, and Washington.


The following measures have been taken to stimulate travel to The Bahamas:a) Travel rebates;b) Reduction in airfare by lowering of airport taxes;c) Creation of an all inclusive destination concept with buy-in from all major

tourism suppliers;d) Destination promotion of proximity on its major source market, the USA.

See also

http://www.freenationalmovement.org/news.php?cmd=view&id=711

Barbados

Barbados tourism sector receives a $15 million stimulus package

The Government of Barbados has agreed to provide $15 million to assist failingproperties and to maintain employment in the tourism sector. The Tourism IndustryRelief Product (TIRP), together with the $20 million made available to the BarbadosTourism Authority (BTA), aim to mitigate the worse aspects of the current economic


21/50




crisis.

See also

http://bimchat.wordpress.com/2009/02/20/15m-stimulus-to-help-barbados-tourism-sector-in-tough-times/

Bolivia

Bolivia strengths management and reinforces rural tourism marketing andpromotion

Bolivia aims to strength community enterprises and its initiatives by providing supportto organizational and administrative management. Likewise, it will continue

reinforcing promotion and marketing of Bolivia as a destination for rural tourism.


Response measures include:a) Strengthening the community enterprises by providing organizational and

administrative management;b) Promotion and marketing of Bolivia as a destination for rural tourism.

Transversal policies include:a) Natural resource, environmental and cultural management;

b) Income redistribution policy: Distribucin de la Renta Dignidad.

Canada

Canada invests in priority international markets and encourages Canadians tokeep exploring Canada

Canadians will be encouraged to Keep exploring Canada with an increase infunding to the Canadian Tourism Commission (CTC) outlined in the federalgovernments budget. In addition to maintaining the CTCs CAD$ 76 million funding,

the budget document has earmarked CAD$ 20 million for each of the next two yearsto expand investment into priority international markets and to encourage Canadiansto spend their travel dollars at home. According to CTC, the new money will betargeted into partnered marketing programs that will effectively increase tourismrevenues to the small- and medium-sized businesses- the backbone of Canadastourism economy. Other tourism-related initiatives in the budget include the creationof a National Trails System, an upgrade to National Parks visitors facilities such ascampgrounds, visitor centres and a National Historic Site, as well as cultural festivals.


The government of Canada has allocated CAD$ 800 million in the federal budget tosupport the tourism and travel sector, provide stimulus to the industry in these


22/50




challenging economic times, and address several longstanding competitivenessissues of the industry.

Among the funding initiatives for the tourism sector are:a) CAD$ 40 million over two years to the Canadian Tourism Commission: CAD$

20 million for domestic marketing and CAD$ 20 million for emerging markets;b) CAD$ 100 million for marquee festivals and events over two years;c) CAD$ 150 million for Canadas national parks system over two years: CAD$

75 million for visitor facilities and CAD$75 million for national historic sites;d) CAD$ 25 million to create new hiking trails across the country;e) CAD$ 407 million for improvements to passenger rail service in the Montreal

to Toronto corridor operated by VIA Rail;f) Additional funding of projects which will assist in the development of vital

tourism infrastructure;g) CAD$ 24 million over two years for cruise ship tourism;h) CAD$ 60 million over two years for local and community cultural and heritage

institutions (i.e. theatres and museums);i) CAD$ 140 million over five years for Northern Economic Development, a

substantial portion of which will be directed towards tourism projects.

See also

http://mediacentre.canada.travel/content/ctc_news/budget_news

Jamaica

Jamaica Tourism Board supports and collaborates with transport industry

Jamaica Tourism Board (JTB) will assist ground transport operators by providing aUS$ 50 million loan facility in response to the economic crisis. The loan facility hasbeen made available by the Tourism Enhancement Fund (TEF) and is designed toassist contract carriage operators with maintaining and purchasing vehicles. JTB hasalso collaborated with local airline Air Jamaica in a Winter Rescue prize promotionbased in New York during January 2009, where Jamaican advertisement on taxicabswas designed to excite New York consumers about the accessibility and value of the

destination as a tropical getaway during the challenging economic situation andcolder weather period.


Measures taken by Jamaica include:a) An aggressive multi-tiered national sales program of trade and consumer

promotions to create the highest visibility in key market areas (USA, Canadaand the United Kingdom);

b) An aggressive, comprehensive, and competitive public relations marketing,publicity and promotional plan with an overall goal to excite potential visitors

and travel partners through their passions;


23/50




c) Increased presence on the web with a marketing strategy aimed to increaseknowledge of Jamaica, the varied products and services offered and to update

consumers quickly and effectively on activities occurring on the island.

See also

http://www.jis.gov.jm/indus_tourism/html/20090117T110000-0500_18064_JIS__50_MILLION_LOAN_FACILITY_FOR_GROUND_TRANSPORT_OPERATORS_IN_TOURISM_SECTOR.asphttp://www.jis.gov.jm/indus_tourism/html/20090119t090000-0500_18082_jis_jtb__air_jamaica_collaborate_for_winter_rescue_promotion.asp

Nicaragua

Nicaragua facilitates visa for tourists

Nicaragua is implementing some visa facilitation for tourists, for instance, eliminatingthe visa requirement for Costa Rica.

See also

http://www.intur.gob.ni/310309_DecretoVisado.php

ASIA AND THE PACIFIC

Australia

Tourism Australia creates Global Market Monitor and develops a sharppromotion campaign to promote domestic tourism

In response to the financial crisis and its expected impacts, Tourism Australia hasdeveloped a monthly Global Market Monitor to provide the industry and itsstakeholders with a detailed, monthly report on the conditions and performance ofeach of its key markets. The Monitor is based on visitor and visa data as well asreports from Tourism Australias international offices, trade partners and industry

colleagues. Additional efforts are focus on domestic tourism through a nationalcampaign for encourage Australian workers to take their leave holiday at home.


In terms of boosting domestic tourism, the No Leave, No Life program waslaunched by the Minister for Tourism, in the end of May, to encourage Australianworkers to use their stockpiled annual leaves for holidays in Australia. As a supportto this campaign a website has been created (www.noleavenolife.com) to informbusinesses and their workforces.

See also


24/50




http://www.tourism.australia.com/Marketing.asp?sub=0459http://www.tourism.australia.com/NewsCentre.asp?lang=EN&sub=0315

Brunei Darussalam

Brunei Tourism Board launches 10 must-do KNK packages for 2009

The Brunei Tourism Board has stepped up its promotional Kenali Negara Kitani(KNK) with a new marketing campaign called "10 must-do KNK packages for 2009",in an attempt to compensate for the forecasted slowdown in international travel. Thecampaign includes 10 packages conducted by several organisations and touroperators, such as Beach Fun Day, Proboscis Monkey Tour, Sg Brunei Night Safari,Ulu-Ulu Resort and Experience a Typical Brunei Fishing Village. The campaign will

also launch the KNK Passport to encourage more locals and expatriates living in thecountry to travel and participate in the campaign. The Tourism Board is also workingwith the Land Transport Department to extend the public transport system and tomake Brunei more accessible for its Bornean neighbours of Kota Kinabalu, Sabah,Pontianak and Kalimantan.


The objectives of the KNK (Kenali Negara Kitani) are to make of the tourism industrya key contributor in the countrys economic diversification plans and a major providerof employment and business opportunities, as well as to create greater awareness of

the many tourism attractions and activities available in the country for both domesticand international tourist.

The KNK campaign comprises 3 key concepts:a) Promotion of domestic tourism: The KNK campaign promotes to Bruneians

and residents the concept of travelling and doing tourism activities within thecountry, not only by visiting places of attraction, but also by using the servicesof tourism service providers.

b) Awareness of tourism as a key industry for the future: In line with thecountrys economic diversification drive, the KNK campaign emphasizes tothe public at large the importance of developing, sustaining and embracing

the tourism industry.c) Awareness of tourism as a career possibility: The KNK campaign targets

students by highlighting the different interesting and rewarding career optionsavailable in tourism.

See also

http://202.160.14.137/industry/News/2009/news280109(1).htm


25/50




Cambodia

Cambodia implements 2009-2010 tourism plan

Cambodia is developing and implementing a short term tourism strategy plan inresponse to the economic downturn challenge. The main issues considered arefacilitation of travel, marketing and promotion, domestic tourism promotion andASEAN region cooperation.


The measures and projects that have been taken and planned to implement are thefollowing:

a) Facilitation of travel

Facilitation of travelling procedures and transportation for tourist within the regionalframework. Cross border tourism with neighbouring countries is to be furtherdeveloped by improving services and hospitality at border check point, including theuse of a border pass for Cambodian and citizens of neighbouring countries.

Moreover, to streamline the procedure for mutual travel, the exemption from entryvisa between Cambodia and Vietnam have been signed. Additionally, theGovernment will provide the Visa K for Cambodian living in overseas to promotethe Visiting Friends and Relatives (VFR) travel, which will become increasinglypopular as travellers look to eliminate costs.

b) Marketing and promotion

Cambodia is taking measures to secure a sustainable growth and attract touristduring this difficult time of global economic slowdown. In October 2008, theCambodia new branding campaign was launched to promote the country morewidely, to attract more tourists and foreign investors. The strategic marketing planCambodia Kingdom of Wonder is focus on promoting the country as a cultural

and natural destination.

A joint public and private sector working group has met to evaluate challenges andopportunities facing tourism. The proposal of a controlled pricing policy, such as thereduce of the package tour price and allocation more funds, has result to boost newevents, organize overseas road shows, media and agents familiarization. TheMinistry of Tourism will continue to tap in tourism demand, such as the quest forcheaper travel.

In terms of websites and promotional information, core messaging and mediapartnerships are identified as critical for communication. The Ministry of Tourism will

continue to target the traditional source markets such as ASEAN and East Asia,


26/50




emerging growth markets such as India, Russia and Middle East and also themarkets that are less affected by the recent global developments.

c) Domestic tourism promotion

As for the domestic market, the objective is to encourage the local visitors to travellocally, to boost tourism numbers and flatten the seasonality curve.

d) ASEAN Tourism cooperation and the region

ASEAN countries benefits from increasing air connectivity particularly on low-costcarriers (LCCs). The expansion of openskies policies, and the expansion of theASEAN highway is providing significant intraASEAN travel and outbound business;

this will tend to be short haul due to the global recession.

Cambodia encourages and proactively works to attract direct flights and upgradeairports in recognition of the need to increase direct air access into and within thecountry. The countrys third emerging gateway Sihanoukville Airport has beenupgraded to cater to larger aircraft and was equipped with facilities, which will attractregional direct flights in the near future and at the same time improve in tourismsupplies, quality of tourism services and products in order to attract more visitors.

During their meeting in January 2009, the ASEAN Tourism Ministers declared 20092010 as the youth travellers year within ASEAN region. Considering the seriousness

of tourism slowdown, Cambodia is taking the initiative with the ASEAN memberstates to encourage active youths appreciate the diverse cultures within the region.

China

China focuses on expanding domestic demand and promoting tourismconsumption

In the face of the severe situation, China National Tourism Administration (CNTA) isfollowing the direction of expanding domestic demand and promoting consumption

stipulated by the Chinese Central Government. The CNTA is adjusting itsdevelopment strategy by emphasizing on the importance of the domestic tourismdevelopment.


Measures taken by China to boost domestic tourism demand and promote tourismconsumption include:

a) 1.8 billion RMB to refund the quality guarantee deposit for travel agencies:CNTA will refund the quality guarantee deposit submitted by travelagencies with a total amount of 1.8 billion RMB, to help tourism enterprises

overcome the difficult times. According to this policy, travel agencies can


27/50




claim a temporary refund of 70% of the quality guarantee deposit they paidto CNTA when they set up business. A period of two years from the 4th

January 2009 to 31

st

December 2010 was granted for the application of thispolicy.

b) 1 billion RMB investment to improve tourism infrastructure: One billionRMB allocated by the Chinese Central Government will be invested ontourism infrastructure development projects. The major areas forinvestment are tourism infrastructure, public service facilities and ruraltourism.

c) China will launch promotional campaigns to major international sourcemarkets: More efforts will be spent on promoting Chinas tourism to

international markets by organizing road shows and other promotionalactivities in Chinas major source markets like Russia, Japan, UnitedStates, Australia and New Zealand.

d) The Civil Aviation Administration of China (CAAC) 10 measures: TheCAAC introduced 10 measures to respond to the financial crisis andpromote the stable development of the industry. These measures covercomprehensive aspects in aviation industry including: security monitoring;rectify and standardize market order; strictly control of airplane capacitygrowth; politically and financially support to fly routes to remote andunderdeveloped areas; monetary policies for the benefit of national airlines;

adjust the pricing of fuel; promote energy saving actions; enhance theconstruction of infrastructure; expand the scope of air services andfacilitate the enterprises restructuring.

Hong Kong, China

Hong Kong (China) earmarks funds for promotion and marketing to attractinternational conventions and exhibitions and to assist organizers

Hong Kongs Government has decided to earmark an additional HK$ 150 million(US$ 19.3 million) for promotion and marketing initiatives, to attract moreinternational conventions and exhibitions over the next five years. In addition, theFinancial Secretary has assigned a budget US$ 12.8 million to assist organisers tohost more attractive events, in the areas of arts, culture and sports, over the nextthree years.

Additional InformationTo enhance the competitiveness of the destination, Hong Kongs Governmentannounced the following measures in the budget 2008-2009:

a) Waive the hotel accommodation tax starting from 1 July 2008;


28/50




b) Exempt the duty on wine and alcoholic beverages (except spirits);c) Earmark an additional HK$ 150 million (US$ 19.3 million) for promotion and

marketing initiatives to attract more international conventions and exhibitionsto Hong Kong over the next five years;d) Finance development of a world class terminal at the old Kai Tak airport site

with the first berth expected to be operational in 2013.

In addition, Hong Kong Financial Secretary has announced a budget earmarked US$12.8 million to assist organisers to host more attractive events in Hong Kong in theareas of arts, culture and sports over the next three years. The Hong Kong TourismCommission is drawing up a detailed proposal to establish a Mega Event Fund forthis purpose. This will help raise the international profile of many home-grown culturaland sports events to build up Hong Kong's position as the events capital of Asia.

As consumers take less expensive holidays and switch to short-haul destinations, thecountry have re-deployed its marketing resources to focus on short-haul markets andstepped up promotions to attract visitors with new tourism products.

Other efforts have been taken including the following categories:

a) Asias MICE hub: The country will play host to a number of large-scale MICEevents this year, including Art Hong Kong 2009, SIBOS (an internationalconference/exhibition on financial telecommunications), Aerospace 2009,WONCA (World Organisation of Family Doctors) and the Asia Pacific Regional

Conference. The newly-established Meetings and Exhibitions Hong Kongoffice of the Hong Kong Tourism Board will provide one-stop support for eventorganisers and will enrich the travel experience of MICE visitors through thearrangement of special cultural programmes.

b) Host of 2009 East Asian Games and other mega events: The Hong Kong2009 East Asian Games will be held in December. This is one of Asiasshowpiece multi-sport competitions, featuring top-class athletes from acrossthe region, with more than 3.500 athletes, competing for 290 gold medals in23 sporting events. Moreover, the Tourism Board will inject new entertainmentelements such as Hong Kong Summer Temptations and Hong Kong

Winterfest; and stage brand new events including an Asian music festival anda 10-day wine and dine festival, as marketing platforms for the destination.

c) Easier entry for visitors: Hong Kong is one of the worlds most immigration-friendly cities. Travellers from some 170 countries and territories enjoy visa-free access to the city for stays of between seven and 180 days.

A further expansion of the Individual Visit Scheme, which allows residentsfrom 49 Mainland cities to visit Hong Kong without having to join group tours,was announced in December 2008. Furthermore, they expect to sign in thenear future, a mutual visa-free access agreement with Russia.


29/50




d) Ecotourism: The Tourism Board will stage a brand new Hong Kong HikingFestival in 2009 and roll out high-end green tour itineraries to showcase the

citys natural wonders and living culture.

e) Regional Cooperation: The country is enhancing cooperation with Macao(China) and the Guangdong Province of Mainland China to promote multi-destination itineraries. The year 2009 is also designated as the Hong Kong-Japan Tourism Year, during which new tourism products will be promoted,targeting different source markets in Japan.

India

India promotes its key destinations in their main source markets

Indian government has announced its initiatives to reduce the impact of the economicslowdown, after discussing with various tourism stakeholders. The majority of thisplan is focused on marketing and promotion such as the Market DevelopmentAssistance (MDA) Scheme, the Visit India 2009 promotional plan, the organizationof road shows and FAM trips, as well as its participation at major international travelfairs.


The following initiatives have been announced:

a) Expansion and liberalization of the Market Development Assistance (MDA)Scheme of the Ministry of Tourism, to promote tourism in the overseasmarkets, provide increased assistance to tourism service providers, as well asto promote niche segments such as MICE and Medical Tourism.

b) A Visit India 2009 promotional scheme has been launched to incentivisevisits of foreign tourists to India during the period April 2009 - December 2009.

c) Familiarization tours for overseas, media and travel trade representatives tokey destinations in India.

d) Subsidies set bye the Ministry of tourism until March 2010, to the TravelIndustry and State Governments in the India Portions, to participate at majorinternational Travel Fairs/Exhibitions.

e) Planning of a series of road shows in key source markets including USA,Canada, United Kingdom, Japan, South Korea, Singapore, Malaysia andAustralia.

f) Liberalization of the conditions for availing External Commercial Borrowing(ECB), for hotels in the corporate segment.

g) Rationalization of Aviation Turbo Fuel (ATF) charges, resulting in substantialreduction in air fares.


30/50




Indonesia

Indonesia promotes domestic tourism and enhances cooperation with Malaysia

The efforts taken by the Government in coping with the crisis aim to intensify theshort haul market especially from neighbouring countries such as Malaysia,Singapore and Thailand; as well as medium haul market which is connected by directflights and has the opportunity to boost by providing new flight connections includingAustralia, Japan, Republic of Korea, China, Hong Kong (China) and Taiwan (PrChina). On the other hand, Indonesian and Malaysian tourism authorities are workingtogether on an agreement that will see enhanced cooperation in the Asian market.Initiatives will include joint promotion, increased flight services, incentives and travel

discounts.Additional Information

Main measures taken by Indonesia include:

a) Policy on tourism development 2009- The Government of Indonesia has re-launched Visit Indonesia Year (VIY)

2009 with a special theme Marine and MICE without leaving other marketsegments of special interests including ecotourism and adventure tourism.

- The launch of a national program of Kenali Negerimu, Cintai Negerimu(meaning know your country by travelling across and you will love it) tostimulate domestic tourism.

b) Marketing strategy- Enhance marketing and promotion for international and domestic tourism by

utilizing printed and electronic media; supporting various international events;and supporting Indonesia promotion offices abroad which cover promotion oftourism, trade and investment.

- The establishment of 10 representatives of tourism promotion abroad to becalled branded offices for 10 focused markets in ten cities: Tokyo, Sydney,Kuala Lumpur, Seoul, Singapore, Guangzhou, London, Frankfurt, Dubai and

Moscow.- Facilitation of direct promotion of qualified products for special niche market.- Co-marketing with airlines, hotels, travel agents, IT Companies, International

Tourism organizations.- Linkage with e-marketing tourism web.- Organizing events and festivals including in cross-border areas to generate

foreign tourists directly.- Media promotion campaign- Setting up marketing task forces consisting of multi stakeholders based on

market priorities.

c) Destination development strategy


31/50




- The government will support the development of 15 destinations other thanBali, focusing on marine, MICE, culture and sport development.

-Facilitation of the development of tourism at priority destinations, for example,by providing supporting funds for improving quality of tourism attractions.

- Enhancement of competencies of tourism industries, for example, indeveloping tourism packages.

- Increasing competitive advantages.- Developing tourism attractions with professional approach and sustainable

tourism development beyond Java and Bali Island.

d) Human resource strategy- To enhance capacity building for human resource development.- Mapping of human resources development on tourism.

-Improvement of recruitment system for obtaining qualified human resources

- Policy of zero unemployment after one year of graduation from tourismschools, under the supervision of the Ministry of Culture and Tourism.

- Capacity building and technical assistances for tourism industries in 15 prioritydestinations: Java and Bali; North and South Sulawesi; North, West and SouthSumatera provinces; West Papua; and East Kalimantan.

See also

http://www.my-indonesia.info/page.php?ic=7&id=4154

Japan

Japan launches Visit Japan and Visit World campaigns

Japanese government is encouraging the expansion of two-way tourism betweenJapan and the world, through the auspices of the Tourism Nation Promotion Act.


Two-way tourism plays an important role in elevating Japan's profile in the world andfostering understanding of Japan. It is with these goals that the Visit Japan

Campaign and Visit World Campaign (VWC) have been launched.

The VWC brings together within the Japan Association of Travel Agents (JATA)structure, the Ministry of Land, Infrastructure, Transport and Tourism (MLIT), andrelated government ministries; tourism offices; airlines; airport authorities and otherconcerned parties as members of the VWC 20 million travellers promotion specialcommittee (VWC Committee) and establishes the VWC Promotion Office at JATA.The two bodies are tasked with stimulating outbound travel from Japan's regions.

See also

http://www.jata-wtf.com/vwc/index.php?lang=en


32/50




Macao, China

Macao (China) continues to work closely with the private sector

To deal with the potential impact of the current economic downturn on tourism Macao(China) proposes some measures oriented mostly to tax exemption and supplydriven measures, in cooperation with the private sector. In terms of fiscal policy, theobjective is to continue with the tax incentive measures for tourism. In the other hand,some efforts are oriented to enhance cooperation with airlines, tour operators, travelagencies and Professional Congress Organizers (PCO).


Macao (China) is implementing the following measures:a) Suspension of tourism tax (5%) for restaurants.b) Waive fees for participation in overseas travel trade/consumer fairs for Macau

travel industry representatives.c) Encourage and support travel agencies to develop overnight heritage tours in

Macau.d) Continue to work closely with airlines & tour operators to develop value-added

packages for target market segments (focus on incentives; family; high-spending female; honeymooners and world heritage-conscious audience).

e) Cooperate with airlines to open up more direct flights between Macau andother international cities.

f) Station tourist guides and provide free presentations for visitors at WorldHeritage sites, in order to facilitate world-heritage-conscious audience, andencourage longer length of stay.

g) Encourage and support PCO to participate and organize MICE activities inMacau.

h) Develop networking opportunities and participation for local MICE industryduring MICE trade shows overseas.

Malaysia

Malaysia implements marketing programs and advertising campaigns topromote the destination

Malaysia is focusing its efforts on encouraging local and foreign tourists to visit thecountry through marketing programs and advertising campaigns. Two main examplesare the rebranding of Malaysia My Second Home (MM2H) programme and theZoom Malaysia campaign to intensify the promotion and develop of domestictourism.


This MM2H programme was endorsed by the government and introduced in 2002


33/50




specifically to attract foreigners wishing to live a meaningful and affordable life inMalaysia for extended periods. The rebranding of MM2H was officially launched on

23 March 2009 by the Ministry of Tourism with the aim of making it more attractiveand effective. The new direction is to attract not only foreigners looking to stay long-term or retire in Malaysia, but also high net-worth individuals looking to invest inMalaysia, either by setting up their business here or by partnering with our localentrepreneurs.

Regarding Zoom Malaysia, launched in December 2009, this campaign aims toencourage local and foreign tourists to explore the beauty of the countrys rainforeststhat are rich with unique flora and fauna. It is in line with the Governments efforts topromote Malaysia as an eco-tourism destination. The advertising campaign forSMRT trains, busses and taxis in Singapore will be for six months, beginning from

January 2009. In March, another two campaigns were launched including liveryadvertising on AirAsias aircraft and in the Kuala Lumpur International Airport.

See also

http://www.tourismmalaysia.gov.my/corporate/mediacentre.asp?page=news_desk&subpage=archive&news_id=323http://www.tourism.gov.my/corporate/mediacentre.asp?page=news_desk&subpage=archive&news_id=299

New Zealand

Tourism New Zealand takes advantage of the crisis opportunities to keepvisitor numbers up

Tourism New Zealand concentrates efforts on keeping its profile in its principalsource markets by taking advantage of its geographical position, as Australians willbe keen to holiday close to home. With this objective, New Zealands Governmentprovided NZ$ 2.5 million to Tourism New Zealand, to boost tourism promotion inAustralia. Additionally, an agreement has been signed with the Chinese Government,committing tourism representatives from the two countries to meet regularly todiscuss tourism issues.


The Governments NZ$ 2.5 million funding will help maintain the countrys profile inAustralia, as Australians plan their winter and summer holidays.

The Prime Ministers visit to China has been an opportunity to reflect on the future ofthis market, which is very significant for the tourism industry in New Zealand. As aresult, the New Zealand and Chinese tourism ministers signed an agreement thatstrengthens the tourism relationship between the two countries. Additional work willgo on to formalise a protocol for handling emergencies affecting nationals while onholiday.


34/50




Behind the scenes, Tourism New Zealand is having quiet success with its ApprovedDestination Status (ADS) monitoring unit. Twenty companies are now approved

under the voluntary code of conduct and around 70 tour guides have graduated tobecome the first cohort of official ADS-approved guides.

Tourism New Zealand has also worked with the Immigration Service in China tointroduce a fast-track visa approval system for trusted partner travel agents sellingindependent holidays.

The Government is taking many other steps to protect New Zealand from the worstimpacts of the downturn. They continue to develop the Jobs and Growth Plan, aseries of initiatives aimed at retaining and growing jobs, including the SmallBusiness Relief Package and the Prime Ministers Job Summit.

The Small Business Relief Package aims to reduce red tape and make lessexpensive for small and medium businesses to manage their cash flows and paytaxes. The Job Summit has been developed, in collaboration with key players of thesector.

As for the USA visitors, Tourism New Zealand focus on building increasedawareness in the medium to long term. In the short term, cheap airfares and a strongUS dollar exchange rate are expected to stimulate interest in New Zealand travel,together with the newly launched extension of 100% Pure New Zealand campaign:The New Zealand Life Back Promise.

Concerning the UK, once again the exchange rate and competitive pricing on airfaresis maintaining interest. For Tourism New Zealand, if fares stay low through May andJune, it will further stimulate the youth market and gap year travel, as students finishschool and university.

See also

http://www.tourismnewzealand.com/newsletter/TourismNewsMay2009FINAL.pdf

Philippines

Philippine government crafts tourism stimulus package

The stimulus plan which is intended to insulate the tourism industry from the impactof the global meltdown includes an aggressive marketing strategy of Philippines asthe best and cheapest tourist destination, especially for its target markets: USA andJapan. Based on the plan, the Tourism Department in tandem with airlines and hotelshas cut the cost of tour packages by half.


The Tourism Department in collaboration with airlines and hotels has cut the cost oftour packages by half. The new tour packages have offered discounts betweenFebruary and April 2009 to USA and Japan markets.


35/50




The reduction of airfare and hotel rates aimed to attract American and Japanese

tourists to visit the Philippines. The agency is also confident to create 3,000 new jobsin support to President Arroyo's program to provide one million jobs in the first sixmonths of 2009.

See also

http://www.op.gov.ph/index.php?option=com_content&task=view&id=19916&Itemid=2

Republic of Korea

Koreas Tourism Organization collaborates with VISA to offer discount

promotions to its visitorsTo beat the current downward trend of international travel, the Korea TourismOrganization and VISA Card work together to present a huge discount promotionfrom April 2009 to March 2010. VISA Card users from all over the world will beeligible for discounts on a range of merchandise, restaurants, leisure activities, andmany more of Korea's attractions. Moreover visitors will also receive great discountsin Korea due to the downward trend of the Korean won against other foreigncurrencies.


During this period, Visa card users can pick up a discount coupon booklet that lists allthe discount offers available. Locations where visitors can save money include SKTelecom Roaming Centres cellular phone rental service at Incheon InternationalAirport, shopping centres throughout Seouls downtown areas, cosmetics shops,amusement parks, restaurants, cafes, hotels, duty free shops, etc. With at least 60different offers available, visitors will be able to enjoy the benefits from the momentthey arrive in Korea. Visitors who make purchases with a VISA card, and present thediscount coupon booklet, can receive discounts from 5% up to 50% at participatingstores and locations.

Singapore

Singapores BOOST campaign aims to help the tourism sector through thechallenging times

The BOOST (Building on Opportunities to Strengthen Tourism) campaign,Singapores S$ 90 million resilience initiative, aims to increase travel to Singaporeand will include tactical marketing campaigns developed in collaboration with tourismindustry partners, to help the tourism sector.



36/50




There are six key elements to BOOST: The demand of travel to Singapore; thegovernments funding support to the sector; the sectors capabilities; outreach to

Singapore residents; partnership with the industry; and the future of the sector.

Measures under BOOST include tactical marketing campaigns, as well as enhancedassistance schemes, developed in collaboration with tourism industry leaders andpartners.

A 2009 Reasons to Enjoy Singapore year-long global marketing campaign is part ofthe promotional push and will feature special offers. For this campaign, eight keysource tourism markets will participate in the campaign: Indonesia, Malaysia, China,India, Vietnam, UK, Germany and Australia.

The campaign in the United Kingdom will focus on the promotion of Singapore as amust-see stopover destination and will witness the Singapore Tourism Board (STB)partner with a number of operators including Travel 2 and Trail finders, on a widerange of promotional campaigns, including a mix of print, online, in-store andbroadcast media.

See also

http://app.stb.gov.sg/asp/new/new03a.asp?id=9663

Thailand

Thailand implements comprehensive plan to fight the crisis

It is not the first time that Thailand tourism has suffered a setback, and now thecountry is facing a new challenge: confronting the economic downturn. Differentmeetings and exchange of information have been held among all tourismstakeholders, resulting in some immediate and medium term measures. For instance:the launch of a promotional campaign in various source market countries; waive visafees for all types of tourists travelling to Thailand from 5 March to 4 June 2009; taxreductions and exceptions for the private sector; a Micro Finance scheme and budgetallocation to encourage domestic travel.


In 2004, when the south of the country was hit by the Tsunami, tourism industrydropped by 10 20 %. At the moment, it was proved that when handled correctly, thetourism cluster was bounced back much stronger than before.

Face of the actual challenge, different meetings and exchange of information havebeen held among tourism stakeholders: governmental authorities, tour operators,travel agencies, tourism council members, Board of directors of airlines, airportauthorities, immigrations, customs departments and commercial banks.


37/50




The first immediate measure was implemented in December 2008, when theinternational airport could not operate leaving at least 300,000 travellers in Bangkok

and various big cities all over Thailand. A special budget of US$ 54 million wasallocated to cover costs of accommodations, meals and rental of tour coaches to thetemporary airport, 300 kms from Bangkok which served for departures from thecountry for two weeks. In January 2009, a quadruple cooperation among the Ministryof Foreign Affairs, the Ministry of Commerce, the Board of Investment and theMinistry of Tourism and Sports, together with concerned private sectors, launched apromotional campaign to boost the countrys profile. Road shows were organized invarious source market countries, for instance: Japan, China, Republic of Korea andthe United Kingdom.

The government has also waived visa fees for all types of tourists travelling to

Thailand from 5 March to 4 June 2009. To incentive domestic meetings and seminarsto be held outside Bangkok, organizers will be able to reduce tax payment byshowing their seminar expenses.

For hotel operators, business tax exemption will be effective for the year 2010. Therewill also be a reduction of 1.25 times of electricity usage guarantee for goodrecorded hotel operators. Approximate rate is based on the past 3 month record.

For all the airlines, there will be a reduction of 50% on landing and parking fees at allairports, under the supervision of Department of Civil Aviation for scheduled flightsand chartered flights until September 2009; and a reduction of 20% on landing andparking fees at all airports, under the supervision of Airport Authority of Thailand forscheduled flights until September 2009. A reduction of 50% will be granted forchartered flights at Chiang Mai Airport, Chiang Rai Airport, Hat Yai Airport and DonMuang Airport until October 2010.

To encourage for foreign and domestic tourists to visit the destination, a reduction of50 % on the entrance tickets at all national parks was approved for a period of 3months, form February to May 2009.

To ensure smooth operation of the new international airport, also in January, the draftAct on Safety and Security was promulgated. The measures also include planningand conducting rehearsals of airport emergency plans.

In February 2009, the Transit Passenger model was launched. Travellers changingplanes in Bangkok will be facilitated within a shorter time and are able to leave theinternational airport for tour programmes, arranged by the Association of Thai TravelAgents (ATTA) in cooperation with the Tourism Authority of Thailand, to various 3 5hour destinations around the airport.

The Micro Finance or Micro Credit scheme was also issued, with the cooperationfrom all financial banks in Thailand and the Small and Medium Entrepreneur Bank.Lending period will be for two years with -3% of Median Low Rate (MLR) of interest, -1% from cooperated banks and -2% from the budget allocated by the government. In


38/50




order to reach those who are really affected by this economic downturn, tourismsectors are requested to be divided into four groups: Hotels, Restaurants, Tour

Operator and others (tour coaches, river boats, gems industries, theme parks, spa,etc).

Each group is chaired by one of the Presidents of tourism associations. ThePresident of Thailand Tourism Council chairs the group of diverse businesses. Eachgroup has to first screen its members and non members who need to ask for thisspecial loan. It has to be proved that their businesses are affected by the globaleconomic downturn in 2009 and that there is no other previous debt occurred beforethe crisis. National launching project will be on 17 March 2009 in Bangkok duringwhich all commercial banks and those concerned will open their booths for the softloan project. A monitoring committee will be set up to follow up the best

performances, transparency and efficiency of the Micro-Credit scheme.

Domestic travel will also be on their agenda. A further US$ 4.37 million has beenallocated to bring 2,000 youths form each of the 75 provinces, in total 153,000persons, to travel around Thailand during April to June 2009. They have to be guidedby professional tour agencies, private tour coaches, stay in hotels, have their mealsin restaurants and use certified guides. The project aims to encourage Thais to travelwithin Thailand and generate income thoroughly in time of crisis.

Vietnam

Vietnam sets a tourism stimulus package

In order to attract tourists the Government has set a tourism stimulus package withsome preferential programs of declining VAT and extending tax payment duration.

See also

http://www.baobinhduong.org.vn/detailen.aspx?Item=68751

EUROPE

Bulgaria

Bulgaria upgrades Plovidiv airport to boost tourism

Bulgaria has launched an upgrade of the airport of its second biggest city of Plovdivin an attempt to lure tourists and boost cargo transport as the global economicdownturn bites. The government will spend 40 million levs (US$ 26.44 million) tobuild a new terminal and almost double plane stands to unclog traffic and increasethe airport's capacity to 500,000 passengers annually. "The modernisation of the

airport will improve the transport and tourist opportunities in the region and will


39/50




encourage airlines to open new destinations," the transport ministry said.

See also

http://www.eturbonews.com/7905/bulgaria-upgrades-ageing-airport-boost-tourism

Croatia

Croatia increases cooperation between the public and private sectors fortourism promotional activities

There are five co-promotional activities (cooperation of the public and private sector)which include special programmes for promotional activities for shoulder seasons,main seasons (different in value), air-destinations and domestic tourism. Additionally,the funds for promotion have been increased (almost 60% compared to last year)and there will be more presence in the global and other media.

Croatia is also advancing in the area of travel facilitation with the abolition of touristvisas for Russians and Ukrainian nationals and tax cuts on hotels.

See also

http://www.mint.hr/default.aspx?id=4881

Cyprus

Cyprus assigns a stimulus package for the tourism sector

The government is putting together a fiscal programme to address the actualdownturn. Cyprus President Demetris Christofias announced a 300 million eurofinancial package in a bid to boost the Mediterranean island's flagging tourism andconstruction sectors. Concerning the tourism sector, aroun

Tourism Economic Stimulus May09

Documents