After the coronavirus epidemic, a "Marshall plan" for French tourism

Mont-Saint-Michel, in Normandy, one of the most visited monuments in France. LOU BENOIST / AFP

Text by: Myriam Berber

To support the tourism sector hard hit by the coronavirus crisis, the French government is implementing a "Marshall Plan" for investments. It must be validated, Thursday, May 14, 2020, by an interdepartmental committee.

Publicity

Read more

Tourism in France is 9% of gross domestic product and 2 million direct and indirect jobs. The coronavirus pandemic weighs heavily on this sector which has been stopped for several months. For France, the world's leading tourist destination, the losses amount to tens of billions of euros. Almost 30% of hotels and restaurants are at risk of declaring bankruptcy. Airlines already in difficulty are on the brink.

Measures have already been put in place by the government. The sector benefited from a state guaranteed loan plan of 4 billion euros. The sector also obtained 2 billion euros in credit deferrals from banks.

But it is far from sufficient. France is preparing a "Marshall Plan" for tourism, an investment program worth 1.3 billion euros. This plan will be implemented by Caisse des Dépôts, via its Banque des Territoires and Bpifrance.

More participative and more digital tourism

To benefit from this financial assistance, companies must meet certain environmental and digital criteria. The objective is to set up a new tourism emerging from the crisis, which is more sustainable, more participative and more digital.

At the same time, hotels and restaurants are campaigning for insurance to compensate for the operating losses linked to the Covid-19. Negotiations have started between the French Insurance Federation (FFA) and the Hotel Trades and Industries Union (UMIH), the main employers' union in the sector.

But some professionals have already put their hands in the pocket. The insurance companies of Crédit Mutuel and its CIC subsidiary have thus released an envelope of 200 million euros to reimburse their policyholders for losses linked to Covid-19. This is also the case for Société Générale for 11 million euros or even for BPCE for 50 million. Initiatives that angered competing insurers, creating a real storm within the FFA.

Newsletter Receive all international news directly in your mailbox

I subscribe

Follow all international news by downloading the RFI application

google-play-badge_FR

  • France
  • Tourism
  • Coronavirus
  • Finance

On the same subject

Reportage

Covid-19: a hotel reopens on the Franco-Belgian border

In Cuba, the closure to tourism for more than a month is severely affecting the country's economy