This loan is the initial phase of a three-year program aimed at enhancing tax collection, particularly in the tourism sector.
A key component of this initiative is the introduction of a new sustainability tax on the tourism industry. This tax is expected to generate significant revenue for the country while also supporting investments in circular economy projects. By diversifying its revenue streams, Seychelles aims to strengthen its economic resilience and promote sustainable development.
The loan will also provide support to the government’s efforts to revise regulatory frameworks and promote private sector growth. Additionally, it will contribute to the implementation of reforms aimed at enhancing environmental and climate resilience.
Key objectives of the program include increasing tax revenue mobilization, particularly in the tourism sector, supporting investments in circular economy projects, promoting private sector growth, enhancing environmental and climate resilience, and strengthening the financial sector.
By achieving these objectives, Seychelles hopes to improve access to renewable energy, create jobs, and ensure sustainable fiscal management. This will enable the government to allocate resources effectively to priority projects and programs while protecting vulnerable populations.
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