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

Friends have identified the man killed in Friday’s shooting in Metchosin as Shane Wilson. (Shane Wilson/Facebook)
West Shore RCMP continue to investigate shooting death in Metchosin

Man killed on Sooke Road Friday night identified by friends

Fire Chief Darren Hughes, right, pulls the old Firemans Park sign off ahead of the parks name change. The new sign for Firefighters Park is coming. (Oak Bay Fire Department Twitter)
Oak Bay changes the name of Fireman’s Park

New sign for Firefighter’s Park on the way

The WHL’s Victoria Royals will compete in a 24-game season starting March 26, <strong></strong>based out of a Kamloops and Kelowna B.C. division bubble (Kevin Light/Courtesy Victoria Royals)
‘Important to cherish every moment’: Victoria Royals not taking bubble season for granted

The Victoria WHL team’s coach and GM calls the season a ‘privilege,’ expects fierce rivalries

The Victoria Fire Department was able to contain a fire to one room after a bed placed directly against a heater ignited. (Black Press Media file photo)
Early morning Victoria balcony fire causes $20,000 in damages

Victoria Fire Department said nobody was injured in the fire on View Street

Postmark Group, an Edmonton-based development firm, bought two properties at 6641 and 6643 Sooke Rd. last year, and is reaching out to the community and local groups for feedback before they begin planning the designs for the development. (Photo contributed/Postmark Group)
Waterfront village development eyed for Sooke

Postmark Group development firm bought two properties at 6641 and 6643 Sooke Rd. last year

Const. Nancy Saggar, who has 11 years in policing, offers advice for other women who may pursue both policing and family. (Black Press Media file photo)
Pregnancy prompts sage advice from RCMP officer for women thinking about policing

West Shore constable with 11 years experience heads off on maternity leave

Montreal Canadiens right wing Paul Byron (41) fights for control of the puck with Vancouver Canucks defenceman Quinn Hughes (43) during first period NHL action in Vancouver, Monday, March 8, 2021. THE CANADIAN PRESS/Jonathan Hayward
Captain Clutch: Horvat nets shootout winner as Canucks edge Habs 2-1

Vancouver, Montreal tangle again on Wednesday

(BC SPCA)
Is it safe to give your dog some peanut butter? Not always, BC SPCA warns

Some commercial peanut butter ingredients can be harmful to dogs

Anyone with information is asked to call Nanaimo RCMP at 250-754-2345 or contact Crime Stoppers by calling 1-800-222-8477 or submitting a tip online at www.nanaimocrimestoppers.com.
21-year-old motorbike rider dies after crash with ATV on Nanaimo back road

Incident happened Sunday afternoon near Boomerang Lake

Rising accident rates and payout costs have contributed to billion-dollar deficits at ICBC. (Comox Valley Record)
B.C. appealing decision keeping ICBC injury cases in court

David Eby vows to ‘clip wings’ of personal injury lawyers

Provincial health officer Dr. Bonnie Henry and Health Minister Adrian Dix provide a regular update on the COVID-19 situation, B.C. legislature, March 2, 2020. (B.C. government)
B.C.’s COVID-19 cases: 545 Saturday, 532 Sunday, 385 Monday

Focus on Prince Rupert, Lower Mainland large workplaces

A special committee has been appointed to look at reforming B.C.’s police act and is inviting the public to make submissions until April 30, 2021. (Black Press media file)
Have thoughts on B.C.’s review of the provincial Police Act?

Submissions will be accepted until April 30

Cottonwoods Care Home in Kelowna. (Google Maps)
New COVID-19 outbreak at Kelowna care home includes fully vaccinated seniors: Henry

Two staff and 10 residents tested positive at Cottonwoods Care Centre

Most Read