FEDERAL BUDGET: Tasmania’s tourism industry to receive lion’s share of COVID-19 rescue package

The Tasmanian economy’s heavy reliance on tourism has been recognised with the greatest share of a COVID-19 rescue package for the sector in next year’s Federal Budget.

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THE Tasmanian economy’s heavy reliance on tourism has been recognised with the greatest share of a COVID-19 rescue package for the sector.

Tasmania will receive $13.5 million out of a $50 million fund for the nine worst hit tourism regions across the country.

The nine regions were determined using a formula developed by Austrade that assessed their economic and job reliance on tourism and their reliance on international tourism.

Tasmania’s borders have been closed to all states since March and will reopen to states excluding New South Wales and Victoria on October 26.

There are 43,200 Tasmanians employed in the tourism industry.

The sector directly contributed $1.75 billion or around 5.4 per cent to Tasmania’s gross state product in 2018/19.

“As we shift to the next phase of our tourism recovery plan, new budget measures will further support the sector and jobs by stimulating domestic visitation to our tourism regions and encouraging domestic business travel,” Trade, Tourism and Investment Minister Simon Birmingham said.

Assistant Minister for Regional Tourism Jonno Duniam said Tasmania could tailor the funding package to suit the local industry.

The remainder of the fund will be shared between the Gold Coast, south Western Australia, Kangaroo Island, Alice Springs, the New South Wales north coast, Phillip Island, North Queensland and the Whitsundays.