Kaski, July 8 : The Western Regional Hotel Association, Pokhara has urged the banks and financial institutions not to follow up for the repayment of principal and interest of the loan when the tourism sector has been invariably affected due to the protracted lockdown against COVID-19. The Association came up with this request drawing attention to the follow-up of banks and financial institutions to the tourism and hotel sector for re-payment of loan in view of closing of the current fiscal year. In a press release issued by the Association chair Bikal Tulachan, it is stated, “Right now no entrepreneur is in a position to repay banks loan. So, the follow-up and undue mental pressure from banks and financial institutions for re-payment of debt in the current critical time would create unfavorable situation.
We also inform that the banks and financial institutions would be held responsible for any untoward consequences”. The Association has further noted t even the government has announced the closure of hotel business so that the hotel and tourism sector would not be able to repay loan principal and interest amidst the complete lockdown. Likewise, the Association has also drawn its attention towards Nepal Rastra Bank’s delay in the enforcement of refinancing guideline.
It has also expressed dissatisfaction over the central bank’s preparation to enforce refinancing guideline and monetary policy from Shrawan (mid-July-mid-August) instead of earlier month during such situation. The hotel and tourism sector has been completely shut down for over three-and-a-half-month with the government enforcement of nationwide lockdown.RSS