(No Like Yet)
Published on : Tuesday, June 9, 2020
The Kerala Government is all set to launch a new lending scheme tactics that would help to save the tourism scheme as well as the tourism sector which is going through major challenges post the COVID outbreak.
A total amount of Rs. 100 crore would be distributed under this forthcoming scheme, as loans among small and medium entrepreneurs in Kerala tourism sector are at a low-interest rate of 3 per cent. To put the scheme into practice, the government from the Kerala Bank will be lending money at an interest rate of 9 per cent and subsidising 6 per cent interest so that the entrepreneurs can make the most.
Now, this proposal for the new scheme prepared by the Tourism Department is awaiiting the green signal of the Chief Minister and Finance Department. Also, the Tourism Department of the state has agreed to act as guarantor for the money lent. The scheme is anticipated to cost the state government Rs. 6 crore. Also, it has been recommended that this money could be sourced from the Plan fund of the Tourism Department.
Currently, on loans to tourism investors, banks charge an interest rate of over 10 per cent. Furthermore, after COVID-19 wreaked havoc, financial institutions have been unwilling to lend money to the travel industry. Also, it highlighted that the Central government’s stimulus economic package carried no proposals for the tourism sector.
Tags: Kerala government