HVS Monday Musings: Homestays in India are Gaining Popularity in the Post-COVID Era

By Mandeep S Lamba and Dipti Mohan
Homestays are not a new concept in India but their popularity has increased significantly in the last one year.

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Singapore to Pump Additional SGD68.5 Million into Tourism Fund

Minister for Trade and Industry, Chan Chun Sing, announced that Singapore will be topping up SGD68.5 million into its Tourism Development Fund (“TDF”) to support tourism enterprises amidst the pandemic. Established in 2005, the TDF aims to grow the tourism sector, and has supported various initiatives such as subsidising the cost of tourism-related skills upgrading course and testing innovative lifestyle concepts. To ensure sustainable tourism growth, Mr Chan called on the industry to tap on technology and innovation such as promoting the use of mobile applications, virtual or augmented reality and remote interactions. These concepts have been tested out recently, with the Changi Airport Group launching the Safe Travel Concierge, a one-stop portal for passengers flying to Singapore to book their on-arrival Covid-19 polymerase chain reaction test (“PCR”) and access pre-travel documents to enter the country. In addition, Singapore will also be allowing passengers to use the IATA Travel Pass to share their pre-departure PCR test results at the immigration checkpoints at Changi Airport and upon check-in with their airline from 1 May. With the increase in funding, Mr Chan hopes that more of such innovative initiatives can be put in place for Singapore to prepare for long-term success and reinvent global travel.

Hong Kong Witnessed Domestic Tourism Recovery and will Shorten Quarantine for Lower-Risk Travellers

On 26 March 2021, the Hong Kong Tourism Board (“HKTB”) kicked off the Staycation Delights programme to entice domestic spending. The public can utilise physical receipts with a minimum spend of at least HKD800 (USD102) in physical retail or dining outlets to redeem a HKD500 discount on a hotel package. The promotion is capped at 20,000 room bookings on a first-come, first-served basis. This is in addition to promotional efforts under the Holiday at Home campaign to boost retail and dining consumption. The HKTB is also preparing to launch a second round of the Free Tour programme once bans on local tours are lifted. Apart from the domestic tourism efforts, Hong Kong plans to shorten its mandatory quarantine period from 21 days to 14 days for selected vaccinated travellers from low-risk countries, namely, Australia, New Zealand, and Singapore. After the 14-day quarantine period, there will be a week of medical surveillance and Covid-19 testing on the 19^th day. Fully vaccinated travellers who have visited medium-risk locations such as South Korea and Japan will also qualify for the 14-day quarantine period. In mid-April, Hong Kong will ease its entry ban on Hong Kong residents in the United Kingdom, however, the three weeks quarantine regulation remains.

Japan to Introduce Prefectural Tourism Promotion Initiatives Worth JPY300 Billion

The central Japanese government will introduce prefectural tourism promotion initiatives worth JPY300 billion (USD2.8 billion) as the travel subsidy program to encourage domestic tourism, "Go To Travel" campaign, is suspended till at least June 2021 due to concerns over a new coronavirus resurgence. Under the new program, the government will give up to JPY7,000 per night for local residents that stay in hotels, ryokan inns or other accommodation facilities in their prefecture. The funds will be available for prefectures classified under stage one or two on the coronavirus alert scale, in which stage four is the most severe level determined by indicators such as the number of cases. Presently, Tokyo, Osaka prefecture and some other prefectures would be excluded from the program. Travel across prefectural borders also is not covered. According to the Land, Infrastructure, Transport and Tourism Ministry, the financial support will be rolled out from 1 April and cover overnight stays through 31 May. The subsidies will cover a maximum of JPY5,000 or 50% of the price of a stay per person per night, plus vouchers worth up to JPY2,000 that can be used at restaurants and on transport networks in the region.

Thailand to Reopen Phuket to Vaccinated Tourists in July

From 1 July 2021, tourists arriving at Phuket, Thailand, will not be required to undergo the mandatory quarantine. An economic panel chaired by Prime Minister, Prayut Chan-o-cha, has approved the proposal by Phuket’s private sector to inoculate at least 70% of the island’s residents so that Phuket can reopen for vaccinated tourists. Phuket’s residents will also be prioritised during the vaccination process with more than 930,000 doses expected to be rolled out before its reopening. However, only international travellers from “low-risk” countries in Asia would be initially eligible and a Polymerase chain reaction (PCR) test will still need to be taken upon arrival as a precaution. This approval will allow Phuket to reopen three months earlier than the rest of the country and could add more than THB30 billion to the economy. Nonetheless, this is still dependent on the international vaccine passport agreement and negotiations with other countries to allow free travel. Phuket will be the first to pilot this initiative before the government expands it to other tourist hotspots like Koh Samui and Pattaya. Meanwhile, effective from 1 April 2021, the mandatory quarantine in Thailand will be reduced from 14 days to ten days and possibly to seven days with two PCR swab tests as situation improves.

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