R20m Tourism Relief Fund for KZN

Looking forward to the tourism sector returning to its former glory are tourism aficionados Chris Phili, Heather Hunter and Nokuthula Bond. I Sbu Mfeka

Looking forward to the tourism sector returning to its former glory are tourism aficionados Chris Phili, Heather Hunter and Nokuthula Bond. I Sbu Mfeka

Published Mar 10, 2021

Share

Durban - THE KwaZulu-Natal tourism sector, in the lockdown doldrums for months, finally has good reason to smile. And it is a double celebration too.

First came the long-awaited news that the country was moving into lockdown level 1. Then, the province had launched a special R20 million Tourism Relief Fund, which will be a lifeline for about 400 small businesses in dire financial straits as a result of the impact of the Covid-19 pandemic.

The fund was announced by Premier Sihle Zikalala in his State of the Province Address. Later this month, Economic Development, Tourism and Environmental Affairs MEC Ravi Pillay will launch the fund and provide the specifics, including the opening and closing date.

This fund, which could be a maximum grant of R50 000 for successful applicants, would mean the difference between survival and going under for these distressed businesses.

Small businesses however, have been particularly hard hit as some have contractual agreements with banks and other financial institutions and have to repay their loans every month, whether they have money coming in or not.

Tourism businesses were delighted about the Tourism Relief Fund and thrilled that the country has now moved to level 1 of lockdown.

“This KZN Tourism Relief Fund has come at the right time to rescue businesses that are struggling and failing to keep their staff,” said business owner Chris Phili, chairperson of the Clermont Community Tourism Offices (CTO) and chairperson of the Community Tourism Association, comprising several of the area’s community tourism offices.

“This R50 000 grant will enable businesses to meet their overheads and pay their staff for three months,” he said. His business was a recipient of the national tourism relief fund.

“The relief helped to pay suppliers, staff and office staff. All that was required is proper accounts to be submitted. These lifelines can mean a lot to very small businesses.”

In the past year, the R200 million National Tourism relief has successfully supported 4 000 businesses, of which 607 companies were from KZN.

Heather Hunter, chairperson of the uMhlanga Tourism Association, said that being in level 1 will boost confidence among potential tourists.

“Restaurants will start to get increased business and our town will get its buzz back. That will encourage locals and tourists alike to visit and enjoy the vibe and meet friends,” she said.

KZN B&B, guest house and other hospitality owners have not been idle during the long, lonely months of lockdown when they had no tourists staying with them either, she recalled.

While visitors were unable to travel because of the strict Covid-19 restrictions, the hospitality industry was busy formulating plans on how to attract them back.

“Now we can really start to boost our businesses once again and put into practice all the amazing ideas we have had. One, and probably the only benefit of being stifled for so long, is that the imagination runs riot and hope brings forth a kind of freshness of thoughts, just like being an entrepreneur all over again,” said Hunter.

Business owners have come up with innovative ideas, special offers and changed their business models to reflect the different ways that travellers have been forced to behave. They have given constant assurances about safety protocols that they have in place so that guests feel safe.

Uncertainty still grips some tourists, however, according to Peter Rose, an uMhlanga guest house owner.

“Times are tough and no one can predict the future,” he said, saying that only the best and the fittest would survive.

“Forward bookings right now means less than a week. People are booking for the weekend and not much further due to uncertainty,” he said.

Pinetown-based B&B owner Nokuthula Bond said that she was still getting corporate guests, which was her core business. While the situation was not ideal, the business that she was getting was sufficient to keep the doors open “and more importantly keep jobs for people’s livelihoods”.

She had witnessed the tragedy of other businesses that had been operating for decades of hard work close their doors.

“After exhausting all options, I had to retrench one staff member and it was an emotionally and mentally draining process.”

Predicting that the industry would take years to recover, she said that the Tourism Relief Fund was a much-needed “relief” but that businesses needed to prepare for the coming third or fourth waves of the virus.

“Long term survival strategies are crucial,” she felt.

Daily News

Related Topics: