N.S. government to provide loan backstop for large tourism operators
The provincial government is offering to help large tourism operators by backing loans in order to help them receive better interest rates and more favourable terms.
Government says the $50 million Tourism Sector Financing Assistance Program fills a gap in federal programming for large businesses in Nova Scotia.
Funds aren't supplied directly to the applicant, with the program providing them with a standby line of credit as part of the debt application.
The amount of the debt cannot exceed $15 million per applicant, with the province guaranteeing up to 95 per cent of the amount borrowed.
The interest rate cannot exceed prime lending rate plus 1.5 per cent.
The program will be administered by the Nova Scotia COVID-19 Response Council at Dalhousie University.