Tourist industry offered 11bn pesos in financing to combat effects of virus

As a measure to help mitigate the negative effects of the coronavirus pandemic, the Ministry of Tourism (Sectur) has launched an 11.4-billion-peso (US $507.6-million) loan program for the hotel, travel agency and ground transportation industries.

In a video conference at the opening of the Latin America Tourism Summit on Wednesday, Tourism Minister Miguel Torruco announced that the program, which will be operated through private banks, will go into effect this year and offer loans ranging from 220,000 to 30 million pesos (around US $9,800 to $1.3 million) with a six-month grace period and a maximum interest rate of 13.5%.

Sectur’s deputy minister for quality and regulation, Humberto Hernández Haddad, reported that the financing will be provided through Banorte, BBVA, Citibanamex, HSBC, Santander and Scotiabank, among other banks that have yet to join the program.

The president of the Mexican Banking Association (ABM), Luis Niño de Rivera, stated that the loan program will provide a boost to help lift the economy.

Torruco reported that Mexico has 23,000 lodging establishments and a total of 830,000 rooms, and 20,000 new rooms are expected to be added this year. 

In addition, he pointed out that although domestic tourism is a key factor in the economic revival of the sector, international tourism must not be forgotten. 

Under normal circumstances, 55% of visitors come from the United States, 12% from Canada and 16% from Central America, the Caribbean and South America. European visitors account for 12.4% of tourists visiting Mexico, while 4% of travelers to the country are Asian.

Source: Milenio (sp), Reportur (sp)

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