Oct 02 2019

Turkey's tourism sector owed nearly $400 million by collapsed travel giant - council

Turkey’s Tourism Advisory Council said on Tuesday that the British travel company Thomas Cook owed Turkey’s local sector an estimated amount of more than 350 million euros ($381.08 million), Reuters reported.

The council said that it was impossible for the amount to be repaid in the short and medium-term.

The sudden collapse of Thomas Cook last week left more than half a million travelers around the world stranded, forcing the British government to orchestrate the country’s biggest ever peacetime repatriation.

Osman Ayık, the head of Turkey’s hotel federation, said last week that Turkey could lose up to 700,000 tourists a year due to the failure of Thomas Cook.

Turkey’s Tourism Ministry had said it was working with the Finance Ministry to extend a loan package to businesses affected by the collapse. But the advisory council, including members of Turkey’s tourism associations, said businesses should be offered a much bigger loan package than the government’s planned 50 million euros and that it should have long maturity terms, low interest rates and a grace period of three years, according to Reuters. 

https://uk.reuters.com/article/us-thomascookgrp-investment-turkey/thomas-cook-owes-turkeys-tourism-sector-381-million-council-idUKKBN1WG3DQ