Question & AnswerQ&A (Republic Act No. 2627)
The main purpose of the Board of Travel and Tourist Industry is to regulate travel and tourism in the Philippines with a view to developing a prosperous Philippine tourist industry.
The Board is composed of the Secretary of Commerce as Chairman, the undersecretaries of Foreign Affairs, Finance, Justice, and Public Works and Communications, the President of the Philippine Chamber of Commerce, the President of the Philippine Tourist and Travel Association, and the Commissioner of Tourism, who acts as the executive vice chairman.
The Board is tasked to coordinate the activities of all government agencies which concern travel and tourism.
The Board extends assistance to private enterprises for new tourist-related projects only on a loan basis supported with adequate collateral, carries a 3% yearly interest, payable in not more than ten-year installments, and the recipient must provide a counterpart amount equivalent to the assistance received.
The Board may fix and collect an annual license fee not exceeding one hundred pesos per year from every individual or group engaged in the travel agency business.
No, it is prohibited for any individual or firm to engage in the travel agency business without being licensed by the Board of Travel and Tourist Industry.
Not more than fifty percent of the collections accrue to the Board’s funds for the general development of tourist facilities and promotion of tourism, while the remaining balance is devoted specifically to restoration, rehabilitation, acquisition, or development of tourist establishments and foreign publicity, with at least one-third but not more than half of the balance dedicated to foreign operations.
The Board has exclusive authority to regulate the travel agency business in any form, including prescribing rules for establishment and operation.
The Board is empowered to effect such other measures as may be deemed proper and necessary to carry out the objectives of the Act.
The Act took effect upon its approval on June 17, 1960.