MATTA president Datuk Tan Kok Liang.
MATTA president Datuk Tan Kok Liang said the association was pleased with the matching grant allocation of RM100 million (US$24m) to be provided to private companies for international tourism promotion and marketing.
Malaysia’s Budget 2019 has generally been kind to the travel industry, although casino operator Genting Malaysia will have cause for concern after a hike in the casino tax and licence fee.
The Malaysian Association of Tour and Travel Agents (MATTA) said the Budget delivered some, but not all, of its wish list.
MATTA president Datuk Tan Kok Liang said the association was pleased with the matching grant allocation of RM100 million (US$24m) to be provided to private companies for international tourism promotion and marketing.
“This is the first time such allocation has been granted for the tourism industry and we look forward for its mechanics and conditions," Tan said.
“The matching grant allocation will be beneficial for local tour agencies, especially SMEs who are constantly active with overseas promotions with MATTA through sales missions to China, India, ASEAN countries and Europe.”
MATTA also welcomed the government’s intention to levy a digital service tax on foreign booking engines.
“Imposing a service tax on foreign online booking engines and withholding tax on commissions paid to them will level the tourism industry playing ground,” Tan added.
Meanwhile, Genting Malaysia Bhd had its biggest single-day fall in its history on Monday after news of the government’s decision to impose a sharp 10% hike in casino duties.
The government plans to increase casino duties to 35% from 25% on gross gaming income, and gaming machines duties to 30% from 20% on gross collections.
The Ministry of Finance also increased the annual casino licence fees by RM30 million to RM150 million (US$36m).
The 10% hike in gaming duties on gross collections to 35% would possibly mean that for every RM100 a patron bets on the table, RM35 will go to the nation’s coffers.