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2020.05.21 09:00

Lithuania's tourism industry to be given €45m lifeline

BNS2020.05.21 09:00

Lithuania's tourism industry will receive 45 million in state support, the government decided on Wednesday.

Two-thirds of the sum will be “measures to maintain business liquidity”, while the rest will go towards economic stimulus, Finance Minister Vilius Šapoka told the cabinet.

Read more: Lithuania's tourism sector pins hopes on reopening borders

The funds are part of the government's updated Economic Stimulus and Coronavirus Mitigation Action Plan that was released in early May.

Measures to shore up liquidity of tourism companies, 31 million euros in total, will include interest-free loans to refund travelers and cover the costs of repatriating tourists from abroad after Lithuania declared a state of emergency.

Another 14 million euros will be used to help kick-start tourism activities when the epidemic is over, such as giving travel vouchers to medical workers and others.

Lithuania's tourism and transport industries have been hardest-hit by the Covid-19 crisis.

The global tourism industry is estimated to shrink by 70-80 percent because of the pandemic.

Read more: Eager to restart tourism, Central Europe takes cue from Baltics