FINANCE

New loans phase to top 1 bln euros

new-loans-phase-to-top-1-bln-euros

Businesses are bracing for the seventh phase of the cheap state loans program, known as the “Deposit To Be Returned,” which will amount to more than 1 billion euros and whose disbursal will be fast-tracked. Sources say that the ministerial decision to that effect will be issued next week, with the new phase also allowing the inclusion of new professionals who started their activity as late as the end of January.

The seventh phase of loans will be disbursed in April and will concern businesses that suffered a turnover loss of at least 20% in the first quarter of the year on an annual basis.

Just like in the phases from 4 to 6, only half of the loans’ sum will have to be returned to the state; that will be in up to 60 installments, starting next year. Recipients will need to maintain the same number of employees, if they have any, until at least the end of August 2021.

The measure will be expanded to incorporate companies that started operating between December 2019 and January 2021, and had been hitherto excluded.

Businesses with no employees or registered tills will again be entitled to a flat loan of €1,000.