R20 million set aside for KZN Tourism Relief Fund

In his State of the Province Address, KwaZulu-Natal Premier Sihle Zikalala announced that R20 million has been set aside towards the KwaZulu-Natal Tourism Relief Fund to provide relief to tourism businesses in distress.

The tourism industry is one of the key industries in South Africa attracting visitors from all over the world. Globally, the tourism sector was the most affected by the COVID-19 pandemic. During his address, Zikalala said that the focus is on implementing the province’s Tourism Recovery Plan which was put together by industry partners when the pandemic started last year.

The latest report by SA Tourism estimated that over 40 000 jobs were lost countrywide because of the COVID-19 pandemic. R20 million has been set aside towards the Tourism Relief Fund aimed to provide relief to tourism businesses. The fund will be capped at R50 000 per business.

SOME OF KZN BUSINESSES IN DISTRESS

READ: Durban’s Hilton Hotel closes doors temporarily due to lockdown losses

In September last year, the management of the iconic five-star Fairmont Zimbali Resort on the KZN North Coast near Ballito announced that the resort has gone into business rescue.

The iconic Hilton Durban Hotel closed its doors in January this year and is one of 1000 Hilton hotels to close since the start of the pandemic.

International investor, Hanes South Africa PTY, which operates the 60-year-old Wonderbra and Playtex companies, said in a statement after careful consideration, the board decided to file for creditors voluntary liquidation. It said it believed it would be the best outcome for staff and other affected parties. The Durban-based factory in Jacobs remains closed and over 700 workers from the underwear manufacturer Playtex lost their jobs.

PLANS TO IMPROVE RURAL AND TOWNSHIP TOURISM IN KZN

ALSO READ: SA maker of Wonderbra and Playtex files for provisional liquidation

During his address, Zikalala said that a strong focus has been placed on rural tourism, as well as on women and youth-owned businesses.

“Some of the province’s projects include the development of a tourism precinct at Howick Falls in uMgungundlovu District Municipality, Improvements at KwaXolo Caves Adventures in Ugu District Municipality, and the construction of Mtubatuba tourism information and SMME Centre in uMkhanyakude District Municipality,” he said.