VNAT to rally Gov’t support for tourism promotion fund
Update: Dec 13, 2013
The Vietnam National Administration of Tourism (VNAT) will seek the Government’s approval for a scheme to create funds for tourism promotion by charging hotels US$1 for one-night stay of each international visitor.

According to VNAT, the proposal will be submitted to the Government this month, having received backing from many travel firms and hotels.

The Vietnam Tourism Association has also had a similar proposal to increase funding for tourism promotion activities.

“In the view of businesses, we agree with such proposal. The State collect taxes from tourism activities and should set aside a certain amount for reinvestment. Vietnam’s tourism needs more money for effective promotion activities,” said Tao Van Nghe, general director of the Rex Hotel.

Tu Quy Thanh, director of Lien Bang Travelink Co., said that the proposal was necessary to increase the funding. With around five million international tourists staying three nights at hotels each, there will be US$15 million for promotion activities, he added.

According to VNAT, Vietnam welcomes around 7.4 million international tourists and 35 million domestic tourists this year, with revenues amounting to some VND195 trillion, or roughly US$9.2 billion. The number of international tourists is expected to reach eight million next year.

The budget for tourism promotion this year is estimated at only around VND20 billion, or less than US$1 million.

SGT