NSW councils can get $10,000 to run COVID-safe events over the summer to draw people outdoors and support local business.
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NSW Minister for Planning and Public Spaces Rob Stokes said the government funding could be used to host outdoor markets, micro-festivals, open-air theatre, street parties, lawn libraries and street entertainment.
Such events would help people connect after a difficult year marked by the coronavirus pandemic and help stimulate the economy.
"Local businesses need our support to recover from the devastating effects of COVID-19 and this funding helps them create environments and experiences that encourage people to stay and spend local," Treasurer Dominic Perrottet said on Wednesday.
The funding comes on top of a further relaxation of rules for alfresco dining and local events.
The NSW government's Festival of Place Summer Fun(d) program will run from December until Easter.
Australian Associated Press