PPP, national budget touted as alternate sources of tourism infra funding analysts

THE government must ensure alternate funding for tourismrelated infrastructure if it abolishes the travel tax, citing risks to the growth of domestic tourism, analysts said.

- Beatriz Marie D. Cruz

"If the abolition of the travel tax creates a funding gap for tourism promotion or infrastructure, it will be critical to establish alternative mechanisms -whether through public-private partnerships or dedicated budget allocations, to ensure ongoing airport upgrades and destination development are not delayed," Dino Mari G.

Palanca, director for marketing and research at property consultant Savills Philippines, said in an e-mail to Business World.

The House of Representatives Committee on Tourism last month approved a proposal to abolish the travel tax, citing the financial burden on those traveling overseas.

Mr. Palanca said removing the travel tax would cut funding for domestic tourism infrastructure, such as improvements to airports, inter-island connectivity, and access roads.