“My proposal was not to ban all-inclusive services at hotels but to reward investors of new hotels with extra government subsidies if they choose not to offer such services,” according to Deputy Culture and Tourism Minister Yiorgos Nikitiadis.
Distress was created last month when the deputy minister announced the need to “limit all-inclusive services by Greek hotels” that seek funding via a new development law to be tabled by the government.
However, his announcement caused the outburst of the Hellenic Federation of Hoteliers who said if hotels cut all-inclusive packages the competitiveness of the Greek tourism product would plunge.
With a second announcement on the matter, Mr. Nikitiadis clarified his proposal was in regards to the criteria for extra government funding of new 4- or 5-stars hotels through the new development law.
“If a hotel investor agrees not to include all-inclusive services within the establishment for five years (nor do business with travel agencies that promote similar tourist packages) then his funding would receive a bonus of three percent,” Mr. Nikitiadis said.