KUALA LUMPUR – Keen to give the country’s battered tourism industry a much needed lift, the government has allocated RM1.6 billion to assist local players at all levels while introducing seven initiatives to rejuvenate the sector.
Describing the industry as a one of the worst hit due to the closure of borders forced by the pandemic, Finance Minister Datuk Seri Tengku Zafrul Tengku Abdul Aziz said that, of the total amount, RM85 million is specifically tailored to assist the 20,000 tourism players registered under the Tourism, Arts and Culture Ministry (Motac) over a period of three months.
He said this in his speech during the tabling of Budget 2022 today.
The first of the seven initiatives for next year focuses on the wage subsidy programme for industry players, who have recorded about a 30% decline in income.
It is expected that the RM600 million marked for this programme will benefit 26,000 employers and 330,000 employees.
Another RM600 million will be parked under the Penjana Tourism Sector Fund and a rehabilitation scheme for specific aid under the tourism sector.
A total of RM50 million will be used for the maintenance of tourism infrastructures, such as the Sultan Abdul Samad building and the Bujang Valley archaeological site in Kedah.
Grants worth another RM50 million will be channelled to companies that promote and organise arts and cultural events, and RM60 million for promotional activities and domestic tourism products.
Tengku Zafrul also encouraged the public to enjoy the nature and heritage in Malaysia by announcing an extension of individual income tax exemption for domestic tourism expenditure of up to RM1,000.
The Federal Territories will also be exempted from entertainment tax at all theme parks and cinemas until the end of next year.
Tengku Zafrul said Putrajaya hopes state governments will also remove their entertainment duties to revive these sectors. – The Vibes, October 29, 2021
