Minister of Economic Development Melanie Joly rises during Question Period in the House of Commons on Parliament Hill in Ottawa on October 1, 2020. Joly says federal marketing strategies may need a shift away from attracting foreign visitors to Canada for the foreseeable future. THE CANADIAN PRESS/Justin Tang

Minister of Economic Development Melanie Joly rises during Question Period in the House of Commons on Parliament Hill in Ottawa on October 1, 2020. Joly says federal marketing strategies may need a shift away from attracting foreign visitors to Canada for the foreseeable future. THE CANADIAN PRESS/Justin Tang

Federal tourism efforts to focus on going local to help hard-hit sector, Joly says

The government plans to back low-interest loans of up to $1 million that can be repaid over 10 years

Economic Development Minister Mélanie Joly says federal marketing strategies might need to shift away from attracting foreign visitors to Canada for the foreseeable future, as COVID-19 keeps suppressing travel.

She and her international counterparts have agreed that domestic travel is likely to take priority even after vaccinations begin.

Efforts earlier this year to redirect $40 million in marketing budgets yielded some results, Joly says, citing high attendance at Banff National Park in Alberta and visitors to Quebec’s Gaspé region.

The government will likely keep that approach until the pandemic is in the rear-view mirror.

Joly says in an interview that the strategy will likely be to first promote people travelling within their regions, then to travel across the country.

She says international efforts would come last, once officials in this country are sure other countries have widespread vaccination efforts that would protect Canadians’ health and safety.

But waiting it out won’t be easy for many businesses. Travel is down and the tourism sector was hit earlier and harder by public health restrictions.

Although the country has recouped just over four-fifths of the approximately three million jobs lost during spring lockdowns at the outset of the pandemic, over one-quarter of the remainder are in what Statistics Canada refers to as the accommodation and food services sector, which includes tourism operators.

READ MORE: Consumer rights advocates call for airline refunds in Parliament hearing

Some tourism businesses were unable to operate at full capacity or earn enough during the summer travel season to make it through the winter.

“Targeted help for those employers will be needed for some time to ensure there are jobs to return to when the pandemic is over,” said Goldy Hyder, president of the Business Council of Canada.

Last month’s fall economic update offered to inject some long-sought support.

The statement set aside $500 million for regional development agencies to spend on tourism businesses through to next June, trying to bolster a sector that normally employs about 750,000 people and makes up about two per cent of gross domestic product.

It also outlined a new loan program for highly affected sectors like tourism. The government plans to back low-interest loans of up to $1 million that can be repaid over 10 years once things bounce back, Joly said.

“Then they can generate revenues, potentially more revenue than they thought even possible, because people will want to travel,” she said in an interview this week.

“That will help them eventually be able to repay some of the loans and basically get through this tough time.”

Joly couldn’t say exactly when the loan program will become available. She said work is underway with the Business Development Bank of Canada on the fine details, and negotiations with banks to make sure rates offered are below what is currently offered in the market.

“We know that time is of the essence,” she said.

And although this measure wasn’t directly pointed at the tourism industry, the sector had asked for the federal wage subsidy to return to covering 75 per cent of eligible payroll costs and a revamped rent-relief program, both of which are now in a bill before the House of Commons.

Jordan Press, The Canadian Press


Like us on Facebook and follow us on Twitter.

Want to support local journalism during the pandemic? Make a donation here.

Coronavirus

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

This historic photo is of Kelowna’s dance band ‘The Pettman Imperials’. 

The photo was shared to the Old Kelowna Facebook page by Ali Richardson whose grandfather Charles Pettman played drums in the band. 

While it’s unclear who is playing the saxophone, from the back the members are; Chas Buckland , Harold Pettman, Tiny Walrod. In the front is Carl Buckland, Charles Pettman and Kay Buckland. 

Harold and his brother Charles started the band in the 1930s, and played weekly at the Aquatic Club in City Park.
A look back at Kelowna’s past

The Pettman Imperials: Kelowna’s dance band circa 1930s

The students were told to think about a problem in their lives and what the solution to that problem could be. (Ashly Griffin)
Kelowna teacher brings creative learning to school during difficult time

Teacher Ashly Griffin wanted to take students’ mind off the pandemic

Esa Carriere, 23, was the victim of a 2018 Canada Day homicide. (File)
Youth sentenced in Kelowna Canada Day killing

Young woman pleaded guilty to lesser assault charge, sentenced to 15-month intensive support and supervision program

A rendering of UBC’s planned downtown Kelowna campus. (Contributed)
Kelowna’s new downtown campus to help alleviate UBCO’s space crunch

The sizable development is anticipated to be completed by the fall 2024 semester

The BC SPCA is adapting its fundraising after cancelling events due to COVID-19 restrictions. (Twila Amato - Black Press Media)
BC SPCA gets creative with fundraising as pandemic continues

The non-profit’s in-person fundraising events all had to be cancelled due to COVID-19 restrictions

Vancouver Canucks’ Travis Hamonic grabs Montreal Canadiens’ Josh Anderson by the face during first period NHL action in Vancouver, Wednesday, Jan. 20, 2021. THE CANADIAN PRESS/Jonathan Hayward
Horvat scores winner as Canucks dump Habs 6-5 in shootout thriller

Vancouver and Montreal clash again Thursday night

Interior Health has declared the Cariboo Chilcotin a community cluster. (Angie Mindus photo)
Interior Health declares Cariboo Chilcotin region a COVID-19 cluster, 215 cases since Jan. 1

Most cases are related to transmission at social events and gatherings in Williams Lake

Vernon Fire Rescue Services responded to a single-vehicle rollover Wednesday, Jan. 20, 2021, after a vehicle came into contact with a pedestrian light pole at Kalamalka Lake Road and 14th Avenue. (Brendan Shykora - Morning Star)
Minor injuries in rollover after vehicle hits Vernon crosswalk pole

The vehicle flipped onto its side, closing Kalamalka Lake Road

Penticton city council heard from Dhorea Ramanula, of Paid Employment for People with Lived Experiences Tuesday, Jan. 19. Ramanula’s organization has operated public washrooms in Kelowna staffed by community support workers since April, she says Penticton could benefit from a similar facility. (Michael Rodriguez - Kelowna Capital News)
Penticton interested in new public washroom concept to combat vandalism

Public washrooms with on-site support staff have been operating in Kelowna since April

Canada Post had remove a lot of letter boxes around Penticton after they were vandalized. This letter box at the United Church on Main St. remains unscathed. (Monique Tamminga Western News)
Street mailbox vandals strike Penticton drop boxes

Canada Post had to remove a bunch of the vandalized units

Cannabis bought in British Columbia (Ashley Wadhwani/Black Press Media)
Is it time to start thinking about greener ways to package cannabis?

Packaging suppliers are still figuring eco-friendly and affordable packaging options that fit the mandates of Cannabis Regulations

Vernon's Noric House long-term care facility is dealing with an influenza outbreak amid the COVID-19 pandemic. (File photo)
Two more deaths at Vernon care home

Noric House case numbers remain steady, but death toll rises

Most Read