HALIFAX — The Nova Scotia authorities says it assured practically $35 million in loans to main tourism operators within the province scuffling with the COVID-19 pandemic.
Introduced final October, the Tourism Sector Financing Help Program gives eligible resort and tour operators entry to low-cost debt financing reminiscent of traces of credit score or time period loans issued by a chartered financial institution.
The province says Ambassatours Grey Line and Murphy’s on the Water can entry as much as $11 million below this system, and Cabot Hyperlinks can obtain as much as $14.25 million and Coach Atlantic as much as $9.5 million.
Minister of Inclusive Financial Progress Labi Kousoulis says in a information launch this system fills a spot as a result of the bigger operators weren’t eligible for federal help packages.
Eligible companies will need to have annual revenues of not less than $10 million, make use of not less than 100 folks, and have skilled income decline of not less than 50 per cent between April 1 and July 30, 2020, in comparison with the identical interval the earlier yr.
The Nova Scotia COVID-19 Response Council fund will assure as much as 95 per cent of the quantity borrowed, and the rate of interest can’t exceed prime lending charge plus 1.5 per cent.
Dennis Campbell, chief government officer of Ambassatours Grey Line and Murphy’s on the Water, mentioned in Monday’s information launch the mortgage financing would imply “zero value” to taxpayers and “vital profit over time.”
“I’m keen to wager my profession and status that this program won’t value taxpayers one greenback as a result of the businesses that have been chosen have been pre-COVID sturdy and have been meticulously vetted by (Nova Scotia COVID-19 Response Council) and our banks,” Campbell mentioned.
This report by The Canadian Press was first printed April 19, 2021.
The Canadian Press