A new €10m support scheme for licensed travel agents and tour operators is now open for applications.
The new funding will help travel agents throughout the country remain in business until viable trading properly resumes.
In 2019 - before the oubreak of Covid - the sector reported a turnover of €1.4 billion and employed more than 3,500 people.
Announcing the scheme, Minister for State at the Department of Transport Hildegarde Naughton said the travel agents sector has suffered significant ongoing disruption to its business during the pandemic.
The Minister said she was cognisant that this sector has remained open to support its customer base in the most challenging of circumstances since March 2020 with a recovery much slower than other parts of our economy.
"The trade generated through licensed outbound travel agents and tour operators is a factor in generating demand for vital air service connectivity between Ireland, our regions and overseas markets," she added.
The Irish Travel Agents Association (ITAA) has welcomed the new funding for the travel industry, which it said had been devastated since early 2020 by both the impact of the Covid pandemic and subsequent travel restrictions on international travel.
"The ITAA has worked tirelessly with Minister Hildegarde Naughton, Minister Michael McGrath, and with officials from the Department of Transport to secure this financial support to protect the travel industry," Pat Dawson, CEO of the ITAA said.
"Many of our members are small family-run businesses located in towns and villages across the country. This support will, in turn, protect the Irish consumer," Mr Dawson said.
"Consumers who book with a bonded, licensed Irish travel agent are guaranteed protection under the European Package Travel Directive. This protection is not present when booking 'do-it-yourself' holidays," he added.
Paul Hackett, President of the ITAA, said the past two years have been the most difficult of trading times for the travel industry.
"Despite trading at near zero levels, travel agents throughout the country facilitated clients with refunds and rebooking," he said.
Mr Hackett said the new funding will go towards protecting the Irish based travel industry to facilitate a smooth and safe return to business.
"Our industry is resilient. We have overcome other catastrophes in the past and for the most part our members have survived the most challenging trading environment ever seen. I have no doubt that over the next 18 to 24 months we will recover to pre-pandemic trading levels," the ITAA President added.
