A PETITION urging authorities to reconsider the ‘low financial support’ targeting gyms and fitness centres has been submitted, as many are struggling to stay afloat.
Around 40 Bahrainis who own some of the leading gyms and fitness centres in the country have signed the petition, which was submitted yesterday to Tamkeen officials.
The document, a copy of which was obtained by the GDN, states that the support ranging between BD500 and BD1,000 a month for three months did not meet operational expenses and losses sustained as a result of the Covid-19 pandemic.
Gyms, fitness centres, salons and sheesha cafes have been shut down since March 18 to limit the spread of the coronavirus outbreak.
Owners of these entities have claimed that the payouts were not fair or sufficient, with even Parliament planning to take up the issue at today’s weekly session.
MPs believe the allocated financial support for such outlets from Tamkeen’s BD40 million Business Continuity Support Programme is extremely low.
“Gyms have been closed since March 18 but continue to pay salaries to their staff and high rentals for their properties,” stated the petition.
“They are at the risk of shutting down and their owners could face legal action due to their cheques being bounced.”
Bahraini Abulla Al Murbati, who owns three gyms in the country, submitted the petition on behalf of the group yesterday along with other businessmen.
“We have submitted our petition to Tamkeen and it is our humble plea to them to please review their monthly aid to gym owners to ensure it covers their operational costs,” he told the GDN.
“Gym owners are hugely impacted due to this closure and we request authorities to please review our condition.”
Small and micro enterprises who qualify for Tamkeen’s financial aid received funds based on the enterprise size, with the grant divided into three monthly instalments.
While such businesses have been closed since the start of the outbreak in the country, other non-essential businesses were allowed to reopen for two weeks in April with restrictions such as social distancing and wearing face masks.
They were once again closed for two weeks and will reopen on Thursday night.
One of the leading names in the sector Ghassan Al Gosaibi, owner of Ghassan Sports Centre in Ramli Mall, told the GDN he was shocked at Tamkeen’s BD500 a month aid.
“Since March 18, I have personally lost about BD15,000 that covers my operational costs and by the time we are allowed to reopen it will touch BD20,000,” said Mr Gosaibi, who is among the signatories of the petition.
“I applied for the Tamkeen aid and received the first instalment of BD500, which is like a slap in the face after 40 years in this field.”
He explained that gym owners have been paying high rent and salaries, adding that the aid provided should at least meet operational expenses.
“Gyms depend on memberships, with 50 per cent related to renewals and the other 50pc are new members, but as long as we are closed there are no new memberships,” he said.
“But once we open we have to extend the current memberships according to the duration of the closure.
“We request the concerned authorities to please help us.”
Ali Jaffar, who owns Merci Health Club in Dar Kulaib, also raised concerns of many businesses potentially going bankrupt as the support covered only a small percentage of their fixed expenses.
“Fitness centres and gym owners are surprised by the support provided to them because these institutions did not benefit in any manner due to the crisis or the closure,” he added.
“Many institutions are seriously considering reducing the number of employees because the aid provided does not meet the requirements for continuing our activities, while others could shut down due to the deteriorating financial situation.”
Officials from Tamkeen could not be reached for comment yesterday.
To offset the financial impact of the pandemic on businesses, Bahrain’s government has already waived electricity and water bills, along with municipal fees and labour fees.
The government is also paying the wages of Bahrainis in the private sector for three months and has asked banks to defer loan instalments for six months.
sandy@gdn.com.bh
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