NEW DELHI: IATA Agents Association of India has urged the Centre to introduce a bailout package for the travel and tourism industry.
The sector had contributed 9.2 per cent of the GDP in India and now due to the Covid-19 crisis, it is passing through a very critical phase, said Biji Eapen, National President of the IATA Agents Association of India. Quoting reports, he said 75 million jobs are at immediate risk in the global travel and tourism, of which 9 million would be from India. Currently, the travel and tourism businesses in India are forced to lay off their employees and remain apprehensive over the looming business situations, including liquidation.
The Association has urged the government to protect the salaries and jobs and extend interest-free loans as working capital to provide liquidity for large and small travel tourism businesses to resume their business. The government should also announce a moratorium on interest payments of all existing working capital loans and cash credit overdraft for next 12 months The government should also waive or remove all dues, taxes, or fiscal charges for the next 12 months that affect cash flow.
The Association is planning a nationwide signature campaign to mobilise support from the industry as the government is in the process of introducing a simulation package for the economy, he added. IAAI invited entrepreneurs, employees, other stakeholders in the sector to participate and support the campaign.
