Among the key announcements was that tourism tax and service tax imposed on hotel stays would continue to be exempted until Dec 31.

Muhyiddin said companies in the tourism industry and selected industries such as cinemas and spas would be allowed to postpone their tax instalments.

More than 5,000 travel agencies registered with the tourism, arts and culture ministry would also receive a one-off payment of RM3,000.

Muhyiddin also announced a one-off RM600 payment for those who run homestays.

To reduce the business costs for the hospitality industry, he added that the 10% discount on electricity bills would be extended for another three months, until June 30.

“Once more of us have been vaccinated, the government will allow interstate travel in stages through special green lanes for cross-border travel involving airlines,” he said.

The prime minister also asked the people to be more understanding about the restrictions as the government studies the risks of interstate travel first before making any decision.

There have been various calls for the government to assist the tourism sector’s recovery, with former finance minister Daim Zainuddin being the latest to call for more out-of-the-box strategies to save the industry.

He also called for new tax laws by which businesses could recover their losses, adding that tax refunds would help with their cash flow.