2026 is a crucial year for anyone in the tourism business to effectively utilize government subsidies. Among all Hong Kong tourism-related subsidies, the most direct, practical, and cost-effective for travel agencies, while simultaneously upgrading their business, is the “Travel Agency BUD.” Whether you run a travel agency, a ground handling company, a free travel platform, or primarily focus on airfares and hotels, if you’re looking to upgrade your system, digitize your operations, or expand into new markets this year, the Travel Agency BUD is the most worthwhile subsidy to consider!
What is the BUD Fund?
The full name of BUD is “Dedicated Fund on Branding, Upgrading and Domestic Sales” To put it simply, it helps non-listed companies in Hong Kong (including travel agencies) do two things:
- Enhance brand image, optimize internal operating processes, and promote upgrading and transformation
- Explore new markets (mainland China or countries that have signed FTAs (Free Trade Agreements) with Hong Kong).
Most importantly: BUD is essentially a government subsidy for various industries, allowing you to do things you already wanted to do but felt were too costly. Not using it is a waste!
Am I Eligible for Travel Agency BUD Subsidies?
The answer is usually: Yes. As long as your travel agency meets the following conditions, you are eligible to apply for travel agency BUD subsidies:
- Having business registration in Hong Kong
- Having substantial business operations (e.g., leases, employees, operating records)
- Not being a listed company
- Any industry is acceptable (travel agencies are perfectly fine!)
In other words, as long as you are a genuine travel agency and are doing business, you can apply!
How much BUD Subsidy can a Travel Agency Apply for?
The latest subsidy ratio (after March 2025) is: Government:Business = 1:3 (Government subsidy up to 25%)
For example: You undertake a qualified project worth 400,000 → The government subsidizes 100,000, and the travel agency needs to pay 300,000.
Although the travel agency BUD subsidy ratio is not as high as before, the advantage lies in the wide range of project types. The portion of the subsidy applied for by the travel agency is extra profit. Moreover, a company can accumulate up to 7 million in tourism subsidies—enough for a typical travel agency to upgrade its system, rebrand, and expand its market.
BUD vs EASY BUD : How Should Travel Agencies Choose?
| Category | BUD（Mainland Programme / FTA Programme） | EASY BUD |
| Maximum per Project | HK$1,000,000 | HK$100,000 |
| Suitable for | Comprehensive brand promotion, business upgrade, process optimization, or market expansion projects | Small-scale promotion, simple upgrade, single project |
| Document Requirements | Complete business plan + numerous supporting documents | Simplified documents, fast process |
| Suitable for Travel Agency | Travel agencies seeking comprehensive upgrades/entering domestic and international markets | Seeking a quick claim for a travel agency subsidy |
What can Travel Agencies do with BUD?
The following are all the most frequently applied for and most suitable BUD items for travel agencies:
Travel Agency Branding
If you feel your travel agency’s brand logo is outdated or your website is unattractive, this can be covered by BUD. Examples include:
- Travel agency brand image redesign
- Website redesign, UX/UI optimization
Travel Agency Marketing
Promotion is the most expensive part of a travel agency’s budget, and these can all be included in BUD:
- Various online advertising
- Overseas and domestic exhibitions and promotional activities
- Production of promotional materials
👉 This is essentially the government paying for your marketing expenses, making it the most practical subsidy for travel agencies.
E-commerce/System Upgrades (Digital Transformation)
With customers booking quickly these days, travel agencies must keep up with system upgrades. These are all eligible for reimbursement:
- Remodeling or upgrading the travel agency website
- Integrating booking and payment systems
- Upgrading app or website functionality
👉 Many travel agencies use BUD to upgrade their IT systems, reducing manpower and error rates.
Internal Process and Management Upgrades
Travel agencies often have many repetitive administrative processes. These projects can be used to:
- Introduce CRM/ERP/Tourism-Specific Management Systems
- Purchase equipment directly related to the project
Expand into the Mainland China market or Free Trade Zone Market
If a travel agency plans to attract Mainland tourists and expand into Free Trade Agreement markets, the following can also be included in the travel agency’s BUD:
- Applying for local tourism-related permits
- Registering trademarks and copyrights (reportable up to HK$600,000)
- Hiring consultants for market strategies
This is particularly useful for travel agencies that want to “officially enter the Mainland China market or Free Trade Agreement regions.”
Audit Fees (Cannot be omitted, but reimbursable)
The final audit fee handled by a registered auditor is also reimbursable!
Important Reminders:
- ✔ All the above expenses must be directly related to your project goals.
- ✔ Official invoices are required.
- ✔ The content must be reasonable, logical, and clear (this is very important).
- ✔ Utilizing this effectively can significantly reduce costs for travel agencies.
- ✔ The scope of the above subsidies is subject to change at any time; please refer to the official government website for details.
Travel Agencies Must Make Good Use of Their BUD Funding!
If you own a travel agency, BUD is arguably one of the most worthwhile government subsidy programs to research in 2025–2026. Especially if you:
- Want to rebuild your website;
- Want to improve SEO/advertising;
- Want to expand your mainland China tourist market;
- Want to improve internal processes (GDS, ERP).
BUD and EASY BUD are perfect for you!
The tourism industry is evolving rapidly. Customers want clearer information, a smoother booking experience, and a more reassuring brand image. Instead of struggling on your own, make the most of the government subsidies available. Whether you want to advertise, update your website, upgrade your booking system, or expand into the mainland China or ASEAN markets, as long as you’re on the right track, travel agency BUD is one of the most worthwhile government subsidies to apply for in 2026!
If you want to know which programs your company can apply for and how to allocate your budget most efficiently, you can also talk to 📞Travelconnect. We can provide initial assessments and guidance to help travel agencies plan their BUD in a compliant and strategic manner.
