The quarantine continues and as the more than 2000 outbreaks we now have on a daily basis indicate, nothing will be opened in March.
Remaining in a strict lockdown, support measures for 500,000 businesses and workers are announced.
The salons, which have lost more than 60% of their turnover since the outbreak of the pandemic, will have as much help as possible!!!! Specifically, the Deputy Minister of Finance, Mr. Apostolos Vessiropoulos commented that “In Attica alone there are about 10,000 such businesses, reassuring that “We will continue to stand by society for as long as it takes, but with the meaning that there is no money center”, meaning that the available resources are not inexhaustible and many businesses are now in the air.
Prime Minister Kyriakos Mitsotakis’ message
From the very first moment the pandemic hit, I stressed that the priority of health must go hand in hand with the protection of the economy. That is why, alongside the titanic effort to strengthen the NHS, 24 billion has been allocated in 2020 to support workers and businesses. And today another 2.5 billion are mobilised, bringing the total to 11.6 billion. the relevant funds for 2021.
In spite of the irresponsible scaremongering, all the evidence shows that the national economy has held up. Despite the unprecedented difficulties, we had very few “lockouts”. The country had the second best performance in Europe in containing unemployment. And the recession was limited to 8.2%, against the opposition’s miserable forecasts. Our goal now is for the production world to stand up until the end of the test. Thus, making, more confidently, his first steps into the next day.
Well, I can announce a new stimulus package that will bring relief to more than 500,000 businesses, freelancers and millions of workers.
Settings which unfold in six fields:
Firstly, the 7th round of the Refundable Advance funding for businesses that had a reduced turnover between January and March is launched in April. It will be broader, including all those affected, such as retail, catering and sectors where restrictions have been applied. But also with increased support: amounts will start at €1,000 for a self-employed person and go up to €100,000.
Second, the exemption of 30% up to 50% of the repayment of the Refundable Advance will also apply to those who joined the first three cycles and had a significant drop in their turnover in 2020. While all repayment instalments are increased from 40 to 60. In fact, if the refund is paid in one lump sum, there will be a 15% discount. Thus, a large part of the aid becomes a direct grant, in other words a non-repayable advance.
Third, in order to protect jobs, the affected sectors will be relieved by another measure: the State will subsidise a significant part of the fixed costs incurred in 2020 that were not covered by other aid. And this one will take the form of a “credit” for future tax and insurance obligations, in order for businesses to restart after the crisis with as little burden as possible.
Fourthly, the Bridge Programme for the regulation of loans will for the first time include not only households but also businesses, subsidising, for the first time, not only interest but also capital. In the case of adult loans, the aid will be up to 90% of the instalment, in order to reward those who are punctual. While in “red” loans it will reach 80% if they are adjusted to help the weakest.
Finally, these options are accompanied by two other initiatives: As is the case so far, the March tax and insurance debts of those affected will be carried over to the end of the adjustment period. While the full rental exemption for commercial properties is maintained this month.
Support measures – 2.5 billion cost of the new package of measures!!!!
7thphase of refundable advance
Businesses with reduced turnover in Q1 2021
Grants from €1000 to €100,000
50% subsidy – 50% loan
Maintaining jobs until August
Reimbursable Advances 1-3
30-50% haircut (based on turnover reduction)
Reimbursable advances 1-7
Increase in instalments for the refundable part from 40 to 60
Those who are able to pay the first instalment are introduced
One-time repayment incentive 15%
“Bridge2” programme (subsidy for 8 months)
Businesses will be subsidised for both targets and capital, for the entire tranche.
Subsidy rates for business loans
Green loans 70-90%
Red loans 60-80%
Subsidy ceiling, up to €50,000 per month
Display of fixed Expenditure (2020 Expenditure) electricity, rent, payroll, and even interest on loans made in 2020.
“Coupons” for offsetting with 1. Tax liabilities /2.Insurance liabilities
(This will apply to loss-making companies in 2020 which should have experienced a 30% reduction in turnover).
