R340M TOURISM TRANSFORMATION FUND LAUNCHED

In efforts to facilitate meaningful transformation in the tourism sector, the South African Department of Tourism and the National Empowerment Fund (NEF) have launched the Tourism Transformation Fund.

The fund is dedicated to providing financial support to black businesses and initiatives to bring about meaningful transformation in the tourism sector.

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Speaking to City Press in the last quarter of 2017, then Tourism Minister Tokozile Xasa announced plans for a tourism fund, which would see R340 million distributed over 3 years.

The funding was generated from a combination of the government’s “savings, loans from lending institutions and government grants,” according to The Korea Herald.

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Funding for up to R5 million per applicant can be secured by applicants whose entities are at least 51% black-owned and are fully registered in South Africa on the Department of Tourism website, while preference will be given to businesses that are predominately owned by and employ youth, black females and differently-abled people.

According to IOL, “the projects must trigger empowerment, destination development, job creation and skills development. Some R120 million in funding has been set aside to assist black businesses in growing their businesses as stated in the Tourism BBBEEE Act”.

Applications close on 31 August 2018.

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