MyBHA demands government to protect hoteliers and operators against Covid-19 effects

By TIN Media | Hospitality Published 3 years ago on 28 April 2020
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MALAYSIA:

The Malaysia Budget Hotel Association (MyBHA) has demanded the government to draw up an act to protect hoteliers and operators against the effects of COVID-19 immediately.

The Association has received many negative feedback from its members that the government-announced Special Relief Fund (SRF) is not hospitable to the hoteliers, its national deputy president Sri Ganesh Michiel said.

"The hotel industry has been avoided by banks and financial institutions as they perceived this industry as a high-risk sector," he said in a statement yesterday.

To provide funding to COVID-19 Small and medium-sized enterprises (SMEs), the Government allocates RM 5 billion to the Fund.

Sri Ganesh, also Chairman of the MyBHA's national legal and information and communication technologies board, said that owners of properties allegedly used the situation by denying, or rejecting, their tenants who invested in converting the property into a hotel to offer their rental discounts or exemptions.

He also said hotel owners worried that, as a result, the owners of properties that currently enjoy a mortgage moratorium could lose ownership of their hostels because of the non-payment of rentals.

"It is not fair for our members, losing incomes," he said, adding that the move could lead to the closing of hotel companies and an increase in the number of court cases, bankruptcies, and retrenchments.


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