“Since the beginning of this volcanic emergency, the objective of all the Administrations, in an example of coordination and collaboration, has been to attend to the needs, support and accompany the families affected by the eruption in Cumbre Vieja. Today we look to a future of opportunities that the ‘beautiful island’ has, and continuing with our commitment to palm trees and palm trees, I have presented to the business sectors the new aid package that aims to contribute to a rapid recovery of economic activity. Focusing on two of the island's sources of wealth: tourism and small and medium-sized companies, ”said Minister Reyes Maroto after the meeting.
The objective of this special plan, which is developed jointly with the Canarian Executive, is to launch a series of actions both of immediate impact and focused on the medium and long term to contribute to a rapid economic and social recovery of La Palma after the crisis caused by the volcano, supporting the self-employed and companies, especially SMEs, and stimulating the tourist promotion of the 'pretty island'.
Tourist vouchers
The "La Palma Renace" plan contemplates an investment of 12.38 million euros for the recovery and promotion of tourism on the island once the volcano eruption ends. Specifically, a line of tourist vouchers of 300 euros will be launched, articulated through virtual debit cards to stimulate trips to the island of La Palma throughout 2022.
Incentives to airlines
Support for tourism on the island will be completed with the launch of a line of special incentives to improve La Palma's national and international air connectivity during 2022. Thus, an item of 2.65 million euros is allocated to subsidize the seats that the airlines schedule to fly to the 'pretty island'. In the same way, AENA will reimburse the companies 100% of the amount of the infrastructure use fee on all flights originating from La Palma Airport and mainland and international destinations, throughout 2022, with an investment of 930,000 euros, This will reduce the operating costs of the airlines and will make it easier for others to decide to fly to La Palma.
New investments in the Parador de La Palma
The Paradores de Turismo will start a project to improve the infrastructures of the establishment on the island with an investment of 2,000,000 euros. With this investment, in addition to improving the situation of the facilities, it is intended to contribute directly and indirectly to the development of the local economy in the most disadvantaged sectors.
Support for the self-employed and SMEs
In the section on supporting the revitalization of SMEs and the self-employed, an item of 10 million euros is allocated to subsidize direct aid for the creation of new companies, the expansion of an existing establishment or of the productive capacity and the diversification of the production of an establishment in new additional products during the years 2022, 2023 and 2024. Direct aid may also be aimed at allowing the restart of business activity in the case of those businesses that have been directly or indirectly affected by the volcano.
Additionally, the aid package approved last Friday by the Council of Ministers included a budget of up to 3 million euros to subsidize the expenses of preparation and the celebration of the international festival of science, art and music Starmus Festival-La Palma: Lluvia de stars in its 2022 edition.
On the other hand, the Spanish Re-guarantee Company (CERSA), dependent on the Ministry of Industry, Commerce and Tourism, will approve the application of a coverage of 80% of the credit in operations granted by the Reciprocal Guarantee Societies (SGR) aimed at obtaining of financing for investments and liquidity needs of the island's SMEs.
CERSA will also implement a reduction in costs associated with obtaining financing to meet expenses, investments and capital needs. The total amount will be 2,000,000 euros.
