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Mekong Tourism Coordinating Office
Mekong Tourism Coordinating Office
09/21/2021 | News release | Distributed by Public on 09/20/2021 19:53
Coronavirus policy updates
CAMBODIA
On July 21, 2021:
Employees in the garment and tourism industries whose employment contracts have been suspended can expect cash subsidies.
The amount workers will receive depends on the number of days of suspension. Those suspended from seven to 10 days will receive 60,750 Riel (US$19.9), from 11 to 20 days 121,500 Riel (US$39.8), and from 21 to one month 162,000 Riel (U$53.1).Read more
On June 30, 2021:
The government has issued its ninth round of economic relief measures for the private sector, amid mounting socio-economic pressure triggered by an alarming upsurge in Covid-19 cases.
The support measures centre on the severely-hit textiles, garments, footwear, travel goods and tourism sectors, aiming to keep businesses afloat in the third quarter of this year as the pandemic drags on, according to a government statement on June 30.
The government in July-September will continue to provide $40 per month to workers in these sectors as part of its cash handout programme amid the pandemic.
Factory owners must add $30 to the handout, increasing the total disbursement to $70. On the other hand, employers in the tourism sector are encouraged to voluntarily provide as much money as possible.
Additionally, hotels, guesthouses, restaurants and travel agents registered with the General Department of Taxation will be exempt from taxes for the third quarter, but are still required to file their tax returns and use the online e-VAT system to manage their value-added taxes (VAT) each month.
The exemption, however, only applies to tourist businesses in Kampot, Preah Sihanouk, Kep and Siem Reap provinces, Phnom Penh, Svay Rieng province's Bavet town and Banteay Meanchey province's Poipet town.Read more
On May 12, 2021:
The Ministry of Labour and Vocational Training has announced the provision of the 60th round of unemployment benefits for over 5,000 workers in the garment and tourist sectors affected by the pandemic.
The ministry said the payments will be paid in riel and were based on the number of days of the employee's contract suspension. Each worker would receive 60,750 riel ($15) for contracts suspended from seven to 10 days; 121,500 riel for contracts suspended from 11 to 20 days; and 162,000 riel for contracts suspended from 21 days to a month or more.Read more
On May 11, 2021:
Micro, small and medium-sized enterprises (MSMEs) can expect to receive financial relief in the near future from two recently announced projects backed by the United Nations in Cambodia and the Ministry of Economy and Finance (MEF).
The two projects, which have a combined budget of $1.8 million, will aim to extend financial liquidity to MSMEs with a focus on women-led businesses.Read more
On March 28, 2021:
The private sector rejoiced as the government on March 25 announced its eight-round of measures to keep businesses afloat and stimulate economic growth as the Kingdom grapples with surging novel coronavirus infections.
The support measures centre on garments, textiles, footwear, travel goods, bags and tourism, and the government in April-June will continue to provide $40 per month to workers in the sectors as part of its cash handout programme amid the pandemic.Read more
On March 25, 2021:
The Cambodian government extended tax breaks for airline companies and tourism-related businesses for another three months from April to June, 2021 to help offset losses caused by the COVID-19.
The extended measures aim to mitigate the impact of the Feb. 20 community outbreak of COVID-19 on socio-economic situation and to continue supporting businesses in the context of COVID-19.Read more
On March 24, 2021:
The Ministry of Tourism has decided to waive fines for tourist businesses that have been late in applying or have yet to apply for licences until the end of this year.Read more
On February 4, 2021:
Khmer Enterprise (KE) said from February 1, it will accept applications from small and medium-sized enterprises (SME) and start-ups that need capital to offset business and operational challenges amid Covid-19.Read more
On January 12, 2021:
The Ministry of Tourism provides short course to staff working in tourism sectors in target provinces in order to refresh and strengthen their skills as the Kingdom expected to attract at least half a million tourists in 2021, depending on the Covid-19 situation.Read more
On December 25:
The government has extended its financial support programmes to aid the garment and textile industry, tourism sectors and poor people for another three months from January to March 2021.Read more
On December 10:
The Ministry of Tourism will extend the licence fee exemption for all tourism-related business to next year due to the adverse impact of the COVID-19 pandemic.
"The exemption of payment for all kinds of tourism licence fees will be implemented for the period from January 1, 2021, to December 31, 2021.Read more
On November 18:
The Ministry of Environment is working to spur local economic development by organising small-scale tourism products in communities to provide new jobs and boost local incomes.Read more
On November 17:
Minister of Labour and Vocational Training Ith Sam Heng on November 16 announced that workers who lost their jobs due to Covid-19 can apply for a free four-month technical and vocational training course.Read more
On September 30:
Cambodia's government issued its sixth round of incentives aimed at supporting private sector workers and the economy.
The latest incentives are an extension ofexisting ones, in particular those providing financial support for the country's garment, textile, and footwear industries. The government has also extended the payment of Minimum Tax for the aviation industry in addition to the payment of aviation fees by airlines. Read more
On August 1:
The Cambodian government extended tax breaks for aviation companies and tourism-related businesses for another two months to help offset losses caused by the COVID-19 pandemic.Read more
On July 18:
The Cambodian Ministry of Economy and Finance (MEF) has issued two main measures to solve the current issues faced by small and medium enterprises (SMEs). The first measure focuses on compliance for SMEs regarding checking the possibility to provide support including business consultants, lawyers, legal consultants, business registration, accounting, marketing and technical aspects.
The second measure will support the eco-system of SMEs such as continuing to reform the regulation framework and its implementation, promoting supported business services, supporting funding, promoting the market, driving and bolstering human resources and research and development and promoting the concept of entrepreneurship skills.Read more
On July 9:
The Cambodian government has allocated 1.16 billion U.S. dollars to address the economic and social impacts of the COVID-19 pandemic, Economy and Finance Ministry Secretary of State Vongsey Vissoth said here on Wednesday.
"The amount of 564 million dollars has been allocated for health and social assistance and 600 million dollars for economic support through lending to small and medium enterprises," he said during a press conference.
Since the virus outbreak, the government has released 364 million dollars for economic and social supports, he said.Read more
On June 24:
The Royal Government of Cambodia will launch a cash relief programme for the poor and vulnerable families during this COVID-19 crisis on Wednesday, June 24.
The cash fund aimed to assist those locals whose job has been suspended due to COVID-19 crisis especially the poor in remote areas who are facing food shortage.
On June 14:
UNWTO comes to Cambodia's aid with COVID-19 response package while standing to lose $3 billion in tourism revenue. A technical assistance package of the World Tourism Organisation (UNWTO) to rehabilitate the tourism sector in Asia and the Pacific region after Covid-19 crisis has been discussed.
The discussion was made through a recent video conference held with the participation of tourism ministers from UNWTO member countries, including Thong Khon, Cambodia's Minister of Tourism.
Speaking for Cambodia, Mr Khon underlined the significance of the WTO's technical assistance package including the planning to restore and develop the economy and tourism during the post Covid-19 period.
On June 8:
Cambodia's microfinance institutions (MFIs) have approved loan restructures valued at almost $817 million for more than 180,000 customers among a total of nearly 200,000 customers who have requested assistance since May, according to the Cambodia Microfinance Association (CMA).
Kaing Tongngy, spokesperson for the CMA, said that currently only four priority sectors have been approved for loan restructuring. These include tourism, construction, transportation and the garment industry with the association now going to add agriculture as a fifth sector too.
On June 8:
The government executed four measures, extending for another two months a tax exemption from June to July for hotels, guesthouses, restaurants and tour operators.
It also provided an exemption for tourism licence fees for 2021 and said they were not required to pay into the National Social Security Fund during the crisis.
On June 7:
World Bank helps Kingdom tackle Covid-19.
In Cambodia, the government has introduced the $2 billion fourth round of stimulus measures aimed at ensuring economic and social stability. The move is designed to help businesses, factories and enterprises - especially small and medium-sized enterprises - to stay afloat while reducing the burden on poor people through social assistance programmes.
On June 1:
Cambodia has requested the European Union assist the Kingdom's hard-hit tourism sector once the COVID-19 pandemic has been resolved and international travel begins again.
The request came after Tourism Minister Thong Khon and EU Ambassador to Cambodia Carmen Moreno held a bilateral talk last week, discussing Cambodia's tourism sector, which is considered one of the country's four economic pillars.
Thong Khon formally asked for the ambassador's support and cooperation, requesting the union share advice on how to restore the sector while also seeking to promote the Kingdom's tourism destinations in the EU market.
On May 27:
The Royal Government of Cambodia has announced additional measures to assist COVID-19-affected private sector and factory workers and to restore the economy after the crisis.
For tourism sector, registered hotels, guesthouses, restaurants, and tour agencies operating in Phnom Penh capital; Siem Reap, Preah Sihanouk, Kep, and Kampot provinces; and Bavet and Poipet cities will be exempted from all types of monthly taxes for another two months - June and July, stressing that registered airline companies will benefit from the exemption of minimum tax payment till July this year.
On May 25:
About 55,000 garment-textile workers and 4,300 others working in the tourism sector in Cambodia, who have become jobless by theCOVID-19 pandemic, each will receive monthlyfinancial support worth 40 USD through theirWing Specialised Bank accounts next week.
The Ministry of Labour's spokesperson Heng Sour said the government has already allocated its budget to 126 factories and 53 hotels that have registered for support to their workers, the Khmer Times reported.
According to the Ministry of Economy and Finance, approximately 300-350 million USD has been delivered to different economic sectors.
On Apr 21:
The Cambodian government on April 21 announced a three-month tax exemption for hotels, guesthouses, restaurants and travel agencies in Phnom Penh and several provinces.
The exemption takes effect from March to May this year, applicable for hotels, guesthouses, restaurants and travel agencies in Phnom Penh, Siem Reap, Preah Sihanouk, Kep, Kampot, Bavet city and Poipet city, which are registered with the General Department of Taxation.
On Apr 17:
Cambodia's Ministry of Tourism (MOT) and the Ministry of Labor and Vocational Training (MLVT), issued MOT Letter 11 and Instruction No. 045/20, respectively, which provides additional measures to support businesses and employees in the tourism and garment industry.
MOT Letter 11 extends the number of cities in which businesses in the tourism sector can apply for tax exemption, while Instruction No. 045/20 sets out the obligations that businesses must adhere to in order for them to suspend employment contracts. This includes assisting employees in applying for the government monthly allowance.
On Apr 9:
The Cambodian Government allocated up to US$ 2 billion for economic fallout from Coronavirus. The government allocated US$ 800 million to US$ 2 billion to address the economic impacts of the novel coronavirus outbreak.
The lower end of the allocation would help deal with economic slowdown over the next six months, with the US $2 billion expected to be needed if the outbreak lasted more than one year.
On Apr 3:
The government has issued a three-month minimum tax exemption for the aviation sector and exemption on monthly taxes for tourism operators.
These measures are aimed at easing the burden of the private sector affected by the virus' spread. The minimum 10 per cent tax exemption applied from last month to next month for airlines operating in Cambodia.
The government also allowed airlines to set up debt repayment plans to be paid in instalments following the temporary suspension.
On Feb 25:
Cambodia issued regulations to support businesses recently impacted by the coronavirus (COVID-19) outbreak as well as from the partial withdrawal of 'Everything but Arms' (EBA) status by the European Union (EU).
The regulations provide tax breaks and holidays for the country's manufacturing, tourism, agriculture, and property industries. These are key industries to Cambodia's economy, especially, the garment and footwear sectors, which accounted for 80 percent of the country's exports.
Tourism has been a growing sector to the Cambodian economy. In 2015, the government launched the 'China Ready for Cambodia Tourism' policy to attract more Chinese tourists. The policy resulted in two million Chinese tourists visiting the country in 2019.
With the onset of the COVID-19 outbreak, however, the country is unlikely to meet its target of two million Chinese visitors in 2020.
To combat this, hotels and guesthouses located in the Siem Reap province will be exempted from paying tax from February to May 2020.
Additionally, the government has offered special deals for tourists visiting the Angkor Archaeological Park in Siem Reap and where the Angkor Wat temple is located. These are:
- A one-day ticket will be valid for two days until June 25, 2020;
- Three-day tickets will be valid for five days;
- The seven-day passes will be valid for 10 days.
CHINA PR
Last updated March 18, 2021:
The government announced a package to support the digitalization of SMEs in the context of the crisis.Read more
Last updated February 18, 2021:
Phased reduction and exemption of corporate social insurance fees and implementing the policy of payment delaying of housing fund by enterprises: "In order to reduce the impact of the epidemic on enterprises, especially small and medium-sized enterprises, in all provinces except Hubei province from February to June.Read more
Last updated Feb 10, 2021:
Issuing the first batch of the special re-loans: Support them to provide preferential loans to the enterprises under the list management system, which are the key protection enterprises for epidemic prevention and control.Source
Last update 12 January 2021
China and Myanmar have reached consensuses on an array of issues ranging from bilateral relations to the joint fight against the COVID-19 pandemic.
The aid, which amounts to three million yuan, was offered following meetings between Myanmar President U Win Myint and State Counsellor Daw Aung San Suu Kyi with China's Foreign Minister Wang Yi in Nay Pyi Taw on January 11.Read more
Last update 24 April 2020
The Chinese government has asked banks to extend the terms of business loans and commercial landlords to reduce rents.
Since early Feb., the Ministry of Culture and Tourism asked local authorities to give travel service quality deposit back to travel agencies. By now, over 25,000 travel agencies got a refund of 6.37 billion RMB (905 million USD), which greatly relieves the pressure of the cash flow.
The Ministry of Culture and Tourism approached ten other departments including the National Development and Reform Commission, Ministry of Finance and the People's Bank of China, trying to integrate cultural and tourism in the targeted sectors for financial support and taxes deduction. The Ministry allocated funds to support discounted loans for local projects and instructed local administrations to assist medium, small and micro-enterprises. A special column on epidemic control was set up on the website of the MCT so that enterprises are well informed of and have proper access to relative policies.
In addition, local governments of all provinces, municipalities and autonomous regions carried out various policies and measures in support of enterprises in tourism sector in terms of funding, financial assistance, tax deduction, social security, employment, etc.
LAO PDR
On May 10, 2021:
The Ministry of Information, Culture and Tourism (MICT) has endorsed plans for the revival of the tourism industry, which has been hit hard by the second wave of Coronavirus infections, according to a senior ministry official.
The strategy includes mobilisation of funds, a tourism business development plan, and a plan to promote the domestic travel industry with multiple approaches after the Covid-19 outbreak.Read more
On May 6, 2021:
The government of Laos is now considering a policy to assist poor families or vulnerable individuals who have been affected by the Covid-19 crisis.According to a notice issued by the Ministry of Labour and Social Welfare yesterday, authorities have begun collecting data on poor families who have been affected by the Covid-19 pandemic as the second wave spreads across Laos.Read more
On March 24, 2021:
Newly-elected Prime Minister Phankham Viphavanh highlighted the seven concerns when presenting a draft of the 9th five-year National Socio-Economic Development Plan for 2021-25 and State Budget Plan for 2021-25 to the National Assembly.
Addressing financial affairs, particularly public debt and financial leaks, is one of the seven urgent issues that the government will tackle over the next five years.Read more
On October 23:
The World Bank's Board of Executive Directors today approved The funding will be channeled through the World Bank'sMicro, Small, and Medium Enterprise Access to Finance Emergency Support and Recovery Project, which will work with the Ministry of Industry and Commerce and local financial institutions to provide credit to small businesses struggling to cope with the economic slowdown brought on by COVID-19.
Small companies will have the chance to secure working capital loans that can sustain their businesses during the pandemic and initial recovery period, or investment loans for new equipment or expansion of facilities.Read more
On May 25:
The Asian Development Bank (ADB) approved on Monday a 20-million-U.S.-dollar loan to support Laos' response to the COVID-19 pandemic, Lao News Agency (KPL) reported on Monday.
The loan, as additional financing to the Greater Mekong Subregion (GMS) Health Security Project, will assist the Lao Ministry of Health in procuring personal protective equipment, laboratory equipment, testing kits, medical devices, and ambulances.
It will also help the Lao government provide supplies and training to frontline health workers on infection prevention and control, lab testing, and clinical care for COVID-19 patients. It will also cover the government's costs for contact tracing, risk communications, and other interventions.
On May 20:
The United Nations will support the Lao Government's preparedness and response to Covid-19 under the United Nations COVID-19 Response and Recovery Fund with two UN projects approved under the Fund last week.
The Fund was launched by the UN Secretary-General to support low- and middle-income countries overcome the health and development crisis caused by the COVID-19 pandemic and support people most vulnerable to economic hardship and social disruption.
On May 17:
The Lao Ministry of Health with support from USAID has published a poster-like "Good Practices for Covid-19" for accommodation and food retailers.
On April 28:
Lao Prime Minister Thongoun Sisoulith has advised the Ministry of Information, Culture, and Tourism to refurbish and upgrade tourism sites in preparation for the country's reopening after the Covid-19 pandemic.
The National Economic Research Institute (NERI) has given advice to the government to use tourism downtime wisely by investing in the sector in preparation for future tourism by upgrading tourist attractions and boosting services to ensure they meet international standards.
On April 10:
The Laos government-issued tax relief measures to mitigate the economic impact of the COVID-19 outbreak. These measures are designed to assist the cashflow of businesses, in particular, micro-enterprises, in addition to encouraging businesses to retain employees.
Micro enterprises are exempted from paying income tax for three months from April, May, and June 2020. Micro enterprises are classified as businesses with one to three employees with micro and small businesses (MSMEs) playing an important role in Laos' economy.
Businesses that have already made prepayments of income tax for those stated months can carry the payments forward to be used as deductions for the following months.
Employees, whether in the public or private sector, earning 5 million kip (US$559) or below will also be exempt from paying personal income tax (PIT) for three months (April, May, June). Employees earning this threshold will have the first 5 million kip (US$559) exempted and will be taxed at the progressive rates of 10-15 percent.
MYANMAR
On April 16, 2021:
Myanmar hotel and tour businesses will be exempted from paying licence fees for a period of one year as the sector continues to struggle against the COVID-19 pandemic.Read more
On January 28, 2021:
The Myanmar Tourism Bank (MTB) has signed a memorandum of understanding (MoU) with the Union of Myanmar Travel Association to provide loans for association members who are badly affected by the pandemic.Read more
On January 23, 2021:
Myanmar Government has now issued its Myanmar Tourism Strategic Recovery Roadmap (MTSRR). Based on the previous Tourism Master Plan (2013-2020), the MTSRR is a response to COVID-19 and aligned with UNWTO Global Guidelines to Restart Tourism.
The Roadmap will integrate and expand the new six-pillar Tourism Master Plan outline, and all State and Regional Tourism Committees (RTCs) will develop their own State and Regional Master Plans to reflect the actions in the MTSRR.Read more
On January 23, 2021:
Myanmar Tourism Bank (MTB) has signed an MoU with the Myanmar Restaurants Association (MRA) and Myanmar Tourism Human Resources Development Association (MTHRDA) for financial and other assistance.Read more
On January 17, 2021:
Tourism-related small and medium-sized enterprises (SMEs) can now apply for loans at Myanmar Tourism Bank (MTB) through the 11 associations under the Myanmar Tourism Federation (MTF) as collateral and insurance, according to the MTB Head Office.Read more
On November 19:
Tourism will resume under the Myanmar Tourism Strategic Recovery Roadmap, according to the Myanmar Minister for Hotels and Tourism.Read more
On October 23:
The Ministry of Hotels and Tourism will issue safety certificates to hotels, restaurants and tourist destinations in Myanmar to show they are trustworthy and meet international standards.Read more
On October 20:
Five towns in Shan State have been designated as tourism cities with the aim of improving Myanmar tourism in the post-COVID-19 period.Read more
On October 15:
The Ministry of Foreign Investment and Economic Relation has approved a second tranche of COVID-19 funds on October 14 to support the ailing business.Read more
On October 9:
TheAsian Development Bank (ADB) has approved a $30 million loan to boost Myanmar's response to the coronavirus disease (COVID-19) pandemic, especially in areas with a high minority population but inadequate access to health care and other essential services.
The loan, as additional financing to the Greater Mekong Subregion (GMS) Health Security Project, will help the government make immediate investments in 31 district and township hospitals across the country, including improving clinical care and management, infection prevention control, and human resource capacity to help the health system respond to COVID-19and other future public health threats. Read more
On July 29:
The Myanmar Parliament approved a US$250 million loan from the Asian Development Bank on Wednesday to support the budget for its COVID-19 Economic Relief Plan (CERP).
The Ministry of Planning, Finance and Industry (MOPFI) said the loan will be used to provide social support for low-income households, to enhance the healthcare system and COVID-19 prevention, treatment and containment and to support small and medium-sized enterprises.Read more
On June 27:
The International Monetary Fund said Friday it will provide Myanmar with $356.5 million in emergency funding, as the southeast Asian country battles an economic slump due to the coronavirus pandemic.
The fund "will help address Myanmar's urgent financing needs related to COVID-19 shock, and catalyze support from development partners."
On June 10:
The Ministry of Hotels and Tourism has announced a COVID-19 Tourism Relief Plan to help troubled tourism operators navigate the aftermath of the pandemic.
The plan will be implemented by the ministry in three phases from April 2020 to January 2021, and aims to help rebuild Myanmar's tourism industry. Read more
Myanmar Tourism Relief Plan can be downloadedhere
On June 3:
The government is considering a US$24 million bail-out plan to help Myanmar National Airlines (MNA) cover its operational expenses, U Win Khant, Permanent Secretary of the transport ministry, said during a Myanmar tourism forum on June 1.
MNA is currently burning almost $4.8 million on average a month on operational expenses such as fuel, insurance and repairs. It has so far racked up $24 million in debt it has not been able to pay for over the past five months and is now asking the Ministry of Finance, Planning and Investment (MOPFI) for a loan.
The airline has not been able to rake in much revenue since March, when COVID-19 was declared a global pandemic and the first cases were reported in Myanmar. It has so far been operating cargo and relief flights to cover some costs during the COVID-19 period.
On May 2:
Myanmar government has planned to allocate the second batch of fund of 200 billion kyats (US$142.8mil) to disburse more loans to the businesses affected by the Covid-19.
The government has been giving out loans to the most vulnerable businesses in the garment manufacturing sector, hotels and tourism, as well as small and medium enterprises (SMEs) under the country's Covid-19 Economic Relief Plan since the first batch of fund of 100 billion kyats (US$71.4mil), was allocated last month.
The 10 criteria which the applicant company needs to meet include the facts that it must be a citizen-owned enterprise hit by the Covid-19, must be an operating enterprise or an enterprise that has temporarily halted operations for three months and can start operations once it receives the loans and others.
On April 29:
Myanmar launched itsCOVID-19 Economic Relief Plan,which seeks to mitigate the economic impact of the global pandemic by implementing new measures and response plans ranging from monetary reforms and increasing government spending to strengthening the health-care system in the country.
According to the Ministry of Planning, Finance and Industry (MOPFI), the plan includes seven goals, 10 strategies, 36 action plans and 76 actions that seek to flatten the curve without flattening Myanmar's economy.
The COVID-19 Economic Relief Plan (CERP) focuses on improving the microeconomic environment through monetary stimulus; easing the impact on the private sector through improvements to the investment, trade and banking sectors; assisting laborers, workers and households; promoting innovative products and platforms; strengthening the health-care system; and increasing access to COVID-19 response financing, including contingency funds.
On April 28:
The Myanmar government is putting the finishing touches on a comprehensive COVID-19 relief plan to be announced very soon. Among the new response measures being considered is a plan to inject US$2-3 billion (2.8-4.2 trillion kyats) into the economy to help the country recover from the economic and social impacts of the global pandemic.
The Financial Regulatory Department under the Ministry of Planning, Finance and Industry is in the process of drafting a Credit Guarantee Corporation Law.
The aim of the law is to support the provision of financing for micro, small, and medium enterprises (MSMEs) by enabling the establishment of a Credit Guarantee Corporation to guarantee credit to such companies. It will also allow participating financial institutions to spread credit risks and provide loans without collateral.
On April 21:
Myanmar state-owned and private hotels receive land lease payments for six months to ease the pressure wrought by COVID-19. The government will defer land lease payments for six months for a total of 47 state-owned and private hotels in Myanmar to ease the pressure wrought by COVID-19, the Ministry of Hotels and Tourism announced on April 21.
On April 16:
Myanmar hotel and tour businesses will be exempted from paying licence fees for a period of one year as the sector continues to struggle against the COVID-19 pandemic.
The fees for applying for a new license or renewals, which include a hotel business fee, tour agencies fee, tour guide fee and hostel fee, will be exempted from April 1, 2020, until March 31, 2021
The government on March 29 also established a K100 billion fund from which loans at a one percent interest rate would be distributed to qualified firms in those sectors.
On March 30:
The Myanmar government has announced that local businesses that have been badly hit by COVID-19 can apply for loans as part of its initial stimulus package to cushion the impact of the global pandemic on the country's economy.
The fund, which was createdlast week, earmarks 100 billion kyats (about US$72 million) for those sectors, which have been recognized as priorities for state assistance based on their vulnerability to COVID-19. The interest rate on loans provided by the fund will be only 1 per cent with a loan period of one year.
The committee said the businesses can apply for the loans from March 30 to April 9.
On March 19:
The Myanmar Tourism Entrepreneurs Association says it is seeking a K50 billion loan from the government in order to help overcome the impact of the coronavirus pandemic on the tourism sector in Myanmar.
THAILAND
On August 25, 2021:
The cabinet on approved the extension of the 7% value-added tax (VAT) rate for another two years to help reduce the financial burden of consumers, enhance business confidence and boost economic recovery.
Rachada Dhanadirek, a deputy government spokeswoman, said the 7% VAT will be retained until Sept 30, 2023.Read more
On August 4, 2021:
As the government added 16 provinces to the lockdown and curfew group, the cabinet on Tuesday approved an additional 30 billion baht to help workers and entrepreneurs in those provinces.
Government spokesman Anucha Burapachaisri said people and entrepreneurs in the 16 new provinces affected by the lockdown will receive the same rates of financial aid as the 13 provinces already dealing with the government measures, provided via the Social Security Fund.Read more
On July 21, 2021:
The cabinet has agreed to extend the "Ying Chai Ying Dai" scheme aimed at spurring public spending.
The cabinet has given the green light to extend the Ying Chai Ying Dai (the more you spend, the more you get) scheme originally effective from now until the end of September to the end of November.
The scheme provides users with cashback e-vouchers for domestic purchases, encouraging people to purchase food, products and services at participating shops through the Krungthai Bank Pao Tang mobile application.Read more
On July 16, 2021:
The Bank of Thailand is allowing a two-month debt holiday for individuals and small and medium-sized enterprises (SMEs) suffering a direct impact from the government's latest lockdown measures to combat the pandemic.
The measure, which includes the cooperation of the Thai Bankers' Association and the Association of International Banks, targets employees and employers in 10 provinces who have temporarily closed businesses as a result of the tighter lockdown measures.
This measure starts with monthly debt payments for July. Borrowers who want to apply for this debt suspension measure can contact creditors from July 19.Read more
On July 13, 2021:
Thailand's cabinet on Tuesday approved 42 billion baht (US$1.29 billion) of relief measures to help businesses and workers affected by the latest coronavirus restrictions as the country deals with its biggest outbreak so far.
The measures included compensation for businesses and utility subsidies, government spokesman Anucha Burapachaisri said in a statement. The lockdown began on Monday in the capital Bangkok and nine provinces.Source
On July 10, 2021:
The Civil Aviation Board (CAB) has extended relief measures for airlines, affected by the Covid-19 pandemic to the end of this year, according to the Ministry of Transport.
The measures would apply at 29 airports overseen by the Department of Airports across country.Read more
On July 3, 2021:
The GovernmentSavings Bank (GSB) has issued a measure that delays debt repayments by restaurants for a six-month period in light of the COVID-19 situation resulting in tight restrictions on eateries.Read more
On July 1, 2021:
Thai cabinet approved one-month financial aid for workers and employers in six provinces under maximumand strict COVID-19 control.
The assistance targeted people affected by the government's order to close construction sites and construction workers' dormitories and ban dining-in at restaurants in Bangkok, Nakhon Pathom, Nonthaburi, Pathum Thani, Samut Prakan and Samut Sakhon to contain COVID-19.
It also covered operators and workers of hotels, entertainment business, fitness clubs, beauty salons and the hairdressers' shops. Workers covered by Section33 of the Social Security Act will receive2,000 baht each in addition to handouts worth 50% of their previous wages.Read more
On June 12, 2021:
The Bank of Thailand has added debt restructuring measures for entrepreneurs as the impact deepens from the third wave of the pandemic.
The central bank extended the debt moratorium term for small and medium-sized enterprises (SMEs) to December from June 30.Read more
On June 3, 2021:
The government is set to roll out a fresh 50% co-payment subsidy for the monthly salary of employees of small and medium-sized enterprises (SMEs), its latest move to deter mass layoffs in the country.Read more
On May 28, 2021:
Thai Parliament has approved an emergency decree, to amend the Civil and Commercial Code, to reduce the interest rates charged for loan defaults.
Finance Minister Arkhom Termpittayapaisith said the law is being amended, during the prolonged COVID-19 pandemic, to help debtors who have to pay interest as high as 7.5% per annum. The average current savings interest rate in the country is just 0.5% per annum.Read more
On May 14, 2021:
The Cabinet has approved a measure to allow small-and-medium-sized enterprises (SMEs) to use their software or computer program-related expenses as a deductible against corporate income tax due, at the rate of two times the expense in some cases.
Revenue Department Director-General Dr. Ekniti Nitithanprapas said the approval is aimed at encouraging SMEs to deploy digital technology to upgrade their operations. This new tax measure will be applied to SME accounting periods for 2021 and 2022.Read more
On May 14, 2021:
The Committee for the Empowerment of Persons with Disabilities has launched new measures to help the disabled deal with the impact of the COVID-19 outbreak.
Deputy government spokesperson Ratchada Thanadirek said those who have taken loans from the committee will be granted a debt moratorium until March 31st next year. The fund will also provide emergency, interest-free loans of up to 10,000 baht per person. No guarantors will be required for these loans.Read more
On May 13, 2021:
Thailand's central bank said it will announce new measures on Friday to help households and small businesses during the pandemic and could provide further monetary and credit support if needed as the country deals with a third wave of coronavirus infections.Read more
On May 12, 2021:
The Labor Ministry has now confirmed that the law does allow employees of event organization businesses, forced to suspend their operations because of the COVID-19 crisis, to claim compensation from the Social Security Fund (SSF).Read more
On May 11, 2021:
Thailand's cabinet on Tuesday approved 45 billion baht (US$1.45 billion) of projects aimed at reviving the economy, the prime minister said, as the tourism-reliant country struggles with a third wave of coronavirus infections.Read more
On May 8, 2021:
The Cabinet has agreed on a bill allowing tax deductions for donations to the National Vaccine Institute (NVI), to help spur COVID-19 vaccine development.Read more
On May 7, 2021:
The "Ying Chai Ying Dai" (the more you spend, the more you get) scheme is part of the government's 225 billion baht relief plan announced on Wednesday.
It is designed to encourage middle-income and high-income groups to spend and inject money into the system.Read more
On May 6, 2021:
The government yesterday approved lowering residential utility bills for two months amidst Thailand's latest and most severe COVID-19 outbreak.
The two-month reduction in water and electricity bills will be valid for May and June bills to provide relief and encourage people to remain at home.Read more
On April 30, 2021:
Airlines were on Thursday given airport fee waivers until March 31 next year as part of a raft of measures to rehabilitate the aviation industry devastated by Covid-19.
The Civil Aviation Board agreed to help the airlines in various ways, including reducing and exempting them from fees due to the Airports of Thailand (AoT).Read more
On April 27, 2021:
The government looks set to prepare more than 300 billion baht's worth of new measures to help reduce people's expenses and stimulate domestic consumption battered by a fresh wave of Covid-19 infections.Read more
On April 24, 2021:
The government has agreed to extend excise tax reductions for jet fuel until the end of the year to help mitigate the plight of airlines hard hit by COVID-19 outbreaks.Read more
On April 23, 2021:
The Bank of Thailand (BoT) is expecting its latest soft loan scheme would allow small and medium-sized enterprises (SMEs) facing higher risk during the COVID-19 pandemic to access funds more easily.Read more
On March 23, 2021:
The cabinet approved financial measures worth 350 billion baht to help the business sector recover from the impact of coronavirus outbreaks, the country's deputy finance minister Santi Promphat said.
The measures include 250 billion baht of soft loans provided by the central bank and another 100 billion baht for asset warehousing to assist debtors that are still unable to repay loans.Read more
On March 12, 2021:
Thailand is finalizing a rescue plan for tourism-related businesses near collapse from the pandemic that would improve their access to credit from banks wary of further bad loans.Read more
On March 11, 2021:
The president of the Associationof Domestic Travel said tour firms welcomed the government's new tourism promotion scheme, Tour Tiaw Thai, which will offer 5,000-baht handouts for people to use tour guide services.
ADT president Thanaphol Cheewaratanaporn said that under the scheme the government would subsidize 40% of tour guide service fees, limited to 5,000 baht per tourist aged 18 and over, to stimulate domestic tourism.Read more
On March 11, 2021:
Tourism and Sports Minister Phiphat Ratchakitprakarn next Friday (Mar 19) will present to the Centre for COVID-19 Situation Administration (CCSA) his proposal to pilot in Phuket the 'Sandbox' model to welcome foreign tourists to the country.Read more
On February 19, 2021:
Several Thai tourism operators have used their land as collateral for the Government Savings Bank's (GSB) loan programme.
Approved on Monday, the programme is designed to provide low-interest loans for tourism-related businesses and those designated as supply chains of the tourism sector.
Of the 10-billion-baht credit line for the loan programme, businesses requested a combined sum of 5 billion.Read more
On February 15, 2021:
The cabinet has approved 4,000-baht Covid-19 handouts for salaried workers under the Social Security system.
Under the"Section 33 We Love Each Other"programme, around 9.3 million company employees - those under Section 33 of the 1990 Social Security Act - will be given 1,000 baht a week for four weeks through "Paotung", a mobile application developed by the Finance Ministry. They also need to spend it through the app at approved vendors.Read more
On February 12, 2021:
A 37.1-billion-baht budget is planned as a financial remedy to assist employees covered by Section 33 of the Social Security Act (SSA) and state enterprise employees.
The sum covers 9 million people and the "Section 33 Rao Rak Kan" (We Love Each Other) proposal will be forwarded for cabinet approval on Monday, said a Finance Ministry official who requested anonymity.Read more
On February 6, 2021:
Employees of private firms can begin registering for their slice of a new 4,000-baht financial relief package from Feb 16.
The minister said on Friday he had agreed with Prime Minister Prayut Chan-o-cha that the Covid-19 financial relief package should also be given to employees of private firms covered by Section 33 of the Social Security Act (SSA) and who do not hold a state welfare card.Read more
On January 22, 2021:
A relief package for Covid 19-battered airlines was extended by the Civil Aviation Authority of Thailand (CAAT).
Seven local airlines - Thai AirAsia and Thai AirAsia X, Bangkok Airways, Nok Air, Thai Smile Airways, Thai Lion Air and Thai Vietjet Air - have sought 14-billion-baht in soft loans (easier terms and conditions) to sustain their operations.Read more
On January 22, 2021:
Airports of Thailand will extend the timeline to pay concession fees and rentals at the six airports under its management for another year.Read more
On January 20, 2021:
The cabinet confirmed 210 billion baht of handouts to alleviate the hardship caused by the recent Covid-19 outbreak.
Under a new financial aid scheme known as "Rao Chana", the government will provide a total of 7,000 baht per person over two months to cover 31 million people affected by the pandemic.Read more
On January 18, 2021:
The Industry Ministry is preparing to launch a new soft loan programme this week to help small and medium-sized enterprises (SMEs) better cope with the latest wave of the Covid-19 outbreak.
The value of the assistance package, to be made through the Small and Medium Enterprise Development Bank of Thailand (SME D Bank), is being determined and the aid will be based on the degree of damage the pandemic is inflicting on businesses.Read more
On January 13, 2021:
The Bank of Thailand has extended financial relief measures to individual borrowers until June this year, aiming to ease financial burdens stemming from a new round of the domestic Covid-19 outbreak.
For retail borrowers, financial relief measures have been extended to June 30, 2021 after they had expired on Dec 31, 2020.Read more
On January 12, 2021:
The cabinet on Tuesday agreed to reduce electricity and tap water charges, a handout of 7,000 baht over two months to needy people, and provide soft loans to eligible businesses.
Prime Minister Prayut Chan-o-cha said after the cabinet meeting the measures were intended to help cut the cost of living and increase liquidity, and ease the impact of the new wave of novel coronavirus infections.Read more
On January 2, 2021:
The Social Security Office (SSO) is to reduce employers and employees' contributions to the worker welfare fund.
The temporary measure is intended to reduce people's financial hardship during the Covid-19 pandemic when many people have been thrown out of work or their incomes plunged into uncertainty.Read more
On January 2, 2021:
The Thai government has confirmed it will compensate employees forced out of work by Covid-19 restrictions, by paying 50% of their salary for up to 90 days.
The government's Covid-19 task force has also confirmed that foreign nationals with a work permit or otherwise covered by the country's social security program, including migrant workers, are also entitled to the payments.Read more
On December 31:
Six airlines have agreed to not charge passengers extra if they change destinations or travel dates of bookings made under the government's Rao Tiew Duay Kan (We Travel Together) co-payment scheme, following the new Covid-19 outbreak.Read more
On December 28:
The Bank of Thailand (BoT) has further relaxed rules on its 500-billion-baht soft loan programme aimed at helping smaller firms cope with the impact of the coronavirus pandemic.Read more
On October 17:
Thailand's central bank on Saturday announced on its website an extension of grace period of debt moratorium for Thai small and medium-sized enterprises (SMEs) as many of their businesses have been adversely impacted by COVID-19.
The extension grace period will end on June 30, 2021.Read more
On October 7:
The Tourism Authority of Thailand (TAT) has issued a special tourist visa (STV) scheme that aims to encourage more foreign tourists and help revive the economy, shattered the pandemic
Applications for the STV are open from October 2020 to September 2021 and visitors can stay in the country for up to 90 days - which can be renewed twice, meaning tourists can stay up to nine months in the country.Read more
On September 25:
Airports of Thailand has extended concessions to international airlines through 2021 including a moratorium on office rentals, terminal services and fixed monthly concession charges.Read more
On September 8:
The cabinet on Tuesday approved measures to create jobs, the prime minister said, as the government tries to revive an economy devastated by the coronavirus pandemic.Read more
On August 4:
The Asian Development Bank (ADB) is providing a $1.5 billion loan to support the Government of Thailand's response to the coronavirus disease (COVID-19) pandemic.
"ADB is committed to providing timely support to Thailand and helping reduce the pandemic's social and economic impacts on the country," said ADB President Masatsugu Asakawa. "Our budget support will help fund the government's relief packages, which aim to better prepare the country's health care system for possible future waves of COVID-19; protect the vulnerable; support small and medium-sized enterprises (SMEs) in industries most affected by the outbreak such as tourism and manufacturing; and provide overall economic stimulus."Read more
On July 13:
The government plans 100 billion baht of new soft loans to help small-and-medium-sized enterprises (SMEs) in the tourist and services sector hit by the coronavirus pandemic, the finance minister said on Monday.
The loans will offer more relaxed conditions than the central bank's 500-billion baht soft loan scheme.Read more
On July 2:
Hotel businesses will be exempted from paying an annual fee to the government until 2022 to help reduce their burden in the aftermath of the Covid-19 outbreak.
The Royal Gazette website on Wednesday (July 1) announced the ministerial regulation on exemption of the fee for hotel businesses.
The regulation signed by Interior Minister General Anupong Paochinda waives the room fee levied on hotels under the Hotel Business Fee Ministerial Regulation BE 2558 from July 1, 2020 until June 30, 2022 in order to help alleviate the financial burdens of operators who have suffered from the impact of Covid-19.
On June 30:
Travel again with taxpayer help when a program to boost domestic tourism begins July 15.
That's the new date for the THB22.4-billion fund to begin subsidizing travel and accommodations for Thai nationals 20 and up through October, the cabinet announced today. It's also when travellers can register with Krung Thai Bank, where they must hold an account to participate.
On June 26:
Tourism industry rolls out 'Thailand Sure 2020' health safety certification. Domestic tourism has restarted since the Phase 4 easing of restrictions took place in Thailand, with attractions now starting to see many guests. Some people however, are still concerned about the potential spread of COVID-19.
To alleviate this concern and promote domestic tourism, the Office of Small and Medium Enterprises Promotion (OSMEP) has partnered with the Tourism Council of Thailand to introduce the Thailand Sure 2020 symbol, provided to tourism businesses certified for their health and safety measures.
On June 24:
Aircraft parking charges will be waived and a discount on landing and takeoff fees offered to all domestic and international airlines in the latest relief package approved for aviation operators, according to the Civil Aviation Authority of Thailand (CAAT).
The move improves on relief measures provided at the onset of the Covid-19 pandemic to help airlines save on expenses, that had included a 50% discount on parking fees.
The CAC also agreed that the 50% takeoff and landing fee discount, previously extended to 11 countries in the region, will cover aircraft from all countries operating flights into and out of Thailand.
On June 16:
The cabinet approved on Tuesday a domestic tourism package worth 22.4 billion baht to revitalise a key sector hit by the coronavirus pandemic.
The first 18 billion baht of the package will fund subsidies for accommodation, food and other services provided at tourist destinations.
Domestic tourists will receive 5 million nights of hotel accommodations at 40% of room rates but the subsidy will be limited to 3,000 baht per night for up to 5 nights. The tourists will be responsible for the other 60%.
Subsidies for other services, including food, are capped at 600 baht per room per night. The subsidised tourist facilities must be outside the tourists' native provinces to qualify. The subsidies are limited to 40% of actual expenses, with tourists paying the rest. This package is expected to help 24,700 hotels and other accommodation facilities, along with 36,755 restaurants.
On June 9:
The Tourism Authority of Thailand (TAT) has announced the outline to its strategy, admittedly still in the draft stages, to support the Royal Thai government's easing business activities and restrictions.
The TAT strategy so far has been outlined as follows:
PHASE ONE
To begin with TAT has identified basic truths of the new reality moving forward: To restart, the tourism industry must be under disease control measures until a vaccine is developed to prevent this disease. This will affect and change all behaviour and patterns of traditional travel and tourism activities starting from the aviation experience.
The Thai tourism industry has proved incredibly resilient over the years surviving countless negative experiences, but this time is the different because it is not only a domestic event, it is worldwide affecting valuable inbound international tourist markets.
On June 9:
Thailand's Department of Health (DOH), Ministry of Public Health is recommending curbs on the number of visitors at popular tourist spots to avoid a second wave of COVID-19 transmissions as the Royal Thai Government considers how to resume more business activities ahead of schedule.
On June 9:
Hoteliers will get a waiver of the 40-baht fee per room per year until mid-2021 as part of Covid-19 relief. The cabinet on Tuesday approved the proposal by the Interior Ministry, which would cost 31.3 million baht in state revenue.
The waiver takes effect from July 1 this year to June 30 next year.Read more
On June 8:
Eligible recipients of domestic tourism stimulus measures will be entitled to a 3,000-baht cash handout that will automatically be deducted from their bills when they spend nights or pay for food or services at participating hotels, restaurants and related tourism operators, says an informed source at the Finance Ministry.
The scheme will require only hotels, restaurants and tourism-related operators to sign up with the designated state agency, while service users are automatically eligible without any registration requirement.
On June 7:
The Ministry of Tourism has announced new safety guidelines and codes of conduct for tourism businesses to prevent the spread of Covid-19 and revive the sector.
The ministry will now require tourism businesses to be trained in Covid-19 response techniques.
The new guidelines also lay out additional conditions for all tourism businesses that plan on renewing their business licences. Failures to do so will result in an immediate suspension of their licence.
On June 4:
The Tourism Authority of Thailand has formulated a strategy to support domestic tourism first and learn from the experience, as it eases into the challenge of bringing back international travellers.
In a TAT 'backgrounder' feature posted on its website earlier this week the government agency said it had identified basic truths one of them being that the tourism industry will now remain under disease control measures until a vaccine is developed to prevent this disease.
On May 25:
Thailand's tourism and health authorities have teamed up to launch a unique certification scheme aimed to prepare the Thai tourism industry for the recovery period and enhance confidence amongst international and domestic tourists.
The "Amazing Thailand Safety and Health Administration: SHA" project was launched today by Mr. Phiphat Ratchakitprakan, Minister of Tourism and Sports, Mr. Chote Trachu, Permanent Secretary of Ministry of Tourism and Sports, Dr. Panpimol Wipulakorn, Director-General, Department of Health, Ministry of Public Health, and Mr. Yuthasak Supasorn, Governor of the Tourism Authority of Thailand at a press conference "Amazing Thailand Safety & Health Administration: (SHA)" at the Grand Ballroom, Floor 2, The Athenee Hotel, Bangkok.
On May 18:
The Tourism Authority of Thailand (TAT) has launched a mini site dedicated to the "Amazing Thailand Safety and Health Administration: SHA" project, and part of the efforts to mitigate the impacts of the Coronavirus Disease 2019 (COVID-19) crisis and accelerate recovery in the travel and tourism sector.
The Amazing Thailand SHA certification is to prepare Thai tourism operators to be ready for the return of tourism post COVID-19 and developing confidence in Thailand as a destination among international and domestic tourists.
On May 17:
The Royal Thai Government has launched an online platform "Thai Chana" to retain the country's effectiveness in the COVID-19 control measures, following the approval of the second phase for easing restrictions from 17 May.
The Thai Chana online platform is to facilitate disease-control tracking of customers and help prevent a second wave of COVID-19. Those who come in close contact with infected people at shops in the same hour will be called in for testing.
On May 14:
The government will launch a new mobile phone app to facilitate disease-control tracking of customers as shops reopen with the easing of the coronavirus lockdown.
On May 8:
The Ministry of Tourism and Sports Thailand has made an official announcement regarding the refund of travel businesses insurance in Thailand according to COVID-19 impact treatment measures.
On April 28:
Airports of Thailand has rolled out more concessions including cuts to office rentals to support airlines during the Covid-19 crisis.
For airlines that have temporarily closed all operations, AOT will exempt them from property rental fees, terminal and building service charges and fixed monthly concession charges for nine months, from 1 April to 31 December 2020. If they resume services during the period the concession ends.
On April 24:
Executives of eight Thai airlines on Friday met senior officials from the Fiscal Policy Office to discuss relief measures for their ailing businesses affected by the ongoing Covid-19 outbreak.
The carriers called for the government to provide soft loans worth 25 billion baht with 2% interest rate and a repayment period of five years to boost the airlines' liquidity. The first instalment payment is proposed to start on Jan 1, 2021.
They asked for the loan disbursement of at least 25 per cent or about 6.25 billion baht within this month as some airlines are now facing financial difficulties.
On April 20:
The Tourism Authority of Thailand (TAT), in collaboration with the public and private sector partners, is introducing an "Amazing Thailand Safety and Health Administration: SHA" certification aimed at elevating the country's tourism industry standards and developing confidence among international and domestic tourists.
The project is part of TAT's efforts to mitigate the impacts of the Coronavirus Disease 2019 (COVID-19) crisis and accelerate recovery in the travel and tourism sector. The Amazing Thailand SHA certification is to prepare Thai tourism operators to be ready for the return of tourism post-COVID-19.
On April 2:
The Ministry of Tourism and Sports and the Department of Tourism is currently drafting a ministerial regulation aiming to assist tourism business operators/stakeholders with regard to the guarantee fee when applying for a business license. The said fee is a requirement under the Tourism Business and Guide Act B.E. 2551, and the Ministry is currently reviewing to decrease the guarantee fee during the time of crisis or pandemic.
The Tourism Business and Guide Committee's announcement on the Criteria for Tourists to Receive Refunds 2020 states that refunds shall be made to tourists in the case that it is impossible for the individual to travel or there is a reason for the cancellation of travel as advertised which is not the fault of the business operator, by the following criteria:
- If a tourist notifies the business operator of their travel cancellation in advance, not less than thirty days before the date of travel, they are to be refunded at the rate of one hundred percent of the service fee
- If a tourist notifies the business operator of their travel cancellation less than fifteen days before the date of travel, they are not eligible to receive a refund.
- In the event that there is a reason for the business operator to cancel but not the fault of the operator, tourists are to be refunded at the rate of one hundred percent of the service fee.
On March 11:
The Royal Thai Government has approved Phase One of a broad range of financial and fiscal relief measures to help Thai companies, especially small and medium-sized enterprises, alleviate the business downturn impact of the COVID-19 virus crisis.
Travel and tourism companies are a primary focus of attention for the relief measures. Finance Minister Uttama Savanayana said that tourism, which accounts for 12% of the GDP, has been one of the worst affected sectors due to a 44% decline in visitors in February 2020. Chinese visitors alone were down 85%.
The package of relief measures was drafted by the Ministry of Finance based on the principles of "Timely, Targetted and Temporary as Necessary". The measures, approved by the Thai Cabinet on 10 March, 2020, are as follows:
1) Low interest loans (at 2% interest for a period of 2 years, not over 20 million Baht per customer) in the total amount of 150 billion Baht.
2) Suspending the principal, reducing the interest rate for the debts of the Government Saving Bank and Government Housing Bank.
3) The Bank of Thailand has eased the rules for granting commercial bank loans.
4) The Social Security Fund will provide a credit line (at 3%, for a period of 3 years) in the amount of 30 billion Baht.
5) Reducing withholding tax from 3% to 1.5%.
6) Small and Medium Enterprises (SMEs) participating in low-interest credit measures to help entrepreneurs. Having a single account, 1.5 times deduction can be made for interest expenses that occur between 1 April, 2020 and 31 December, 2020,
7) Allowing SMEs to deduct 3 times the salary expenses paid in April 2020 to July 2020. For employees who are insured under the law on the Social Security Fund and receive wages of not more than 15,000 Baht per person per month.
On January 31:
The economic cabinet on Friday endorsed urgent aid measures for tourism operators battered by the coronavirus outbreak.
The measures include a soft-loan scheme and principal and interest payment suspension for six months by state-owned banks, including Krungthai Bank, Government Savings Bank and the Bank for Agriculture and Agricultural Cooperatives.
The Finance Ministry will also reduce jet fuel excise tax and suspend income tax payment for six months for tourism operators, while the Transport Ministry will decrease landing fees.
VIET NAM
On August 31, 2021:
Hanoi has so far offered financial aid worth nearly 750 billion VND (nearly 33.05 million USD) to 2.34 million disadvantaged households and people who are struggling to make ends meet because of COVID-19 impacts.Read more
On August 22, 2021:
HCMC has approved an additional financial aid package of over VND2.577 trillion (around $113 million) to help more households and informal workers.Read more
On August 5, 2021:
HCMC has approved a financial aid package of VND905 billion ($39.4 million) to be disbursed over five days to support the poor and those rendered jobless because of Covid-19.Read more
On August 3, 2021:
The government has ordered price cuts for water, electricity and telecommunication services to help households in localities that have applied social distancing to curb the Covid-19 pandemic.More details
On July 21, 2021:
The Vietnam Bank for Social Policies has begun accepting applications from businesses for interest-free loans to fund furlough and salary payments.
The loans are part of the Government's latest relief package worth 26 trillion Vietnamese dong (RM4.78 billion) for supporting workers and employers struggling to cope with the pandemic.
Around 7.5 trillion Vietnamese dong will be used for interest-free loans for businesses to pay salaries, it said.
Businesses can obtain a loan to pay workers who have contracts with compulsory social security but are furloughed for 15 consecutive days between May 1, 2021 and March 31 next year.Read more
On July 3, 2021:
A new VND26 trillion ($1.13 billion) Covid-19 relief package will expand the list of recipients to include patients, preschool teachers, artists, and tour guides.Read more
On April 23, 2021:
Tourism enterprises continue to be eligible for tax and land lease payment extension in 2021.
According to the General Department of Tourism under the Ministry of Culture, Sports and Tourism, the enterprises operating in the tourism sector continue to be within the group supported by the Government to overcome difficulties due to the impact of the COVID-19 pandemic.Read more
On March 5, 2021:
The Vietnam Aviation Business Association has sought a credit package of VND27 trillion ($1.17 billion) for airlines from the Government to revive the aviation industry.Read more
On February 19, 2021:
The Ministry of Finance has submitted a proposal to the Government seeking approval to create a decree expanding the timeframe for tax and land lease payments.
The move is expected to ease difficulties faced by enterprises amid the COVID-19 pandemic, especially those in tourism and transportation.
Under the proposal, payments of value-added tax are to be extended by five months, during which revenue to the State budget will fall by nearly 68.8 trillion VND (2.99 billion USD).Read more
On January 14, 2021:
Hanoi is allocating $41 million USD for SMEs as part of a program which will run from 2021-25. It is targeting 150,000 newly established companies and adding 1.5 million more jobs.Read more
On November 19:
More than 100 companies have registered to join a domestic tourism stimulation programme launched by the capital city of Hanoi, the municipal Tourism Department said on November 19.Read more
On November 18:
The HCMC government has approved a proposal by labor authorities to pay unemployment benefits worth VND27 billion ($1.16 million) to workers in "non-essential" sectors affected by Covid-19.
Around 27,000 people working in bars, karaoke parlors, beauty salons, massage parlors, cinemas, restaurants, wedding centers, pubs, museums, historical relics, fitness centers, sports centers, bus stations, and others will get around VND1 million ($43) each.Read more
On June 19:
Vietnam's National Assembly on June 19 ratified the government's proposal to cut corporate income tax (CIT) by 30 percent. The reduction was approved by more than 90 percent of all State members.
Of note, the most important factor is that the CIT reduction will apply to all businesses if their total revenue does not exceed the VND 200 billion (US$8.8 million) threshold in 2020. This means that most small and medium enterprises (SMEs) will be eligible for such tax break regardless of the number of employees and the actual financial loss due to the pandemic.
The purpose of the ratification is to ensure an equal subsidy policy for businesses that have been making their best efforts to retain employees, which substantially contribute to social welfare.
On June 9:
Vietnam island Phu Quoc will become the test case for Vietnam's tourism revival. The largest island in the country will open first to tourism to kickstart the economy. Phu Quoc also happens to be one of Southeast Asia's fastest-growing island holiday destinations. Vietnam has reported just a handful of Covid-19 cases and no deaths but the pandemic has still decimated its tourism industry.
On May 16:
Vietnam Airlines partnered with the Vietnam Tourism Association (VITA) to launch a programme to boost domestic travel demand until the end of 2020.
On May 12:
Local administrations have also joined businesses' efforts to recover the tourism sector. The People's Committee of Sa Pa township in northern Lao Cai province has cooperated with the Sa Pa Tourism Association and the Fansipan Cable Car Service to kick off a tourism stimulus programme, the first of its kind, to help recover the local industry.
On April 27:
The Ministry of Culture, Sports and Tourism has announced plans to quickly restart the tourism market as soon as the novel coronavirus (COVID-19) pandemic ends.
The ministry will focus on stimulating the domestic tourism market and coordinating with airlines, transport and travel firms to exempt or reduce service fees, including air tickets, accommodation costs and visiting fees.
It has also proposed the Government to consider policies to create favourable conditions for tourists to Việt Nam, including visa exemptions or visa fee reductions, increasing flights and opening new routes to foreign countries.
The ministry has proposed that home-stay owners, small and medium-sized businesses and laid-off tourism workers would be entitled to benefit from the VNĐ62 trillion (US$2.66 billion) financial package.
On April 9:
The government has adopted the following fiscal measures:
- Tax exemption and reduction, provision of appropriate credit, deferment of payment of taxes and rents to assist businesses affected by COVID-19 epidemic.
- The Government directs credit institutions to balance, fully and promptly respond to capital needs, shorten the time to consider loan application, and improve access to loans of customers; promptly apply supportive measures such as rescheduling, paying interest rate exemptions, keeping the debt group, reducing fees, etc. for customers who are in difficulties due to the effects of Covid-19 epidemic.
The main monetary measures include:
- Provision of support package of about 30 trillion VND to help companies and to ensure social security;
- Extension of payment of taxes and land rents to those affected by Covid-19 epidemic. Exempt, reduce taxes, fees, charges to remove difficulties for those affected by Covid-19 epidemic.
Offering solutions on tax and state budget, firstly the support package of about VND 30 trillion to help solve difficulties for businesses, ensure social security to cope with the Covid-19 epidemic.