NAIROBI, Sept. 18 (Xinhua) -- Kenya plans to extend concessional loans to the hospitality sector in order to promote green tourism, a government official said on Tuesday.
Jonah Ormoi, the chief executive officer of State-owned Tourism Finance Corporation, told Xinhua in Nairobi that the finance will enable Kenya to tap into the growing sustainable tourism sector.
"We will extend loans at below market rates to the hospitality sector in order to ensure that the tourism sector has a low carbon footprint," Ormoi said during a forum on sustainable trends in the Meetings Incentives Conference and Exhibitions (MICE).
Ormoi said the loans will have a grace period of 24 months before repayment begins. He added that the funds will enable hotels to embrace green technologies so as to reduce their energy consumption.
"Some of the projects to be funded include renewable energy sources such as solar power and biogas as well as water recycling plants," Ormoi said.
He noted that the key tourism products in Kenya are beach and wildlife products. The CEO said that the future of tourism sector lies in the development of innovative products in order to make Kenya a sustainable tourism destination.
According to government data, tourism is the second largest source of foreign exchange and accounts for approximately 10 percent of the gross domestic product (GDP).
