ECONOMY

Strict criteria considered for subsidies

strict-criteria-considered-for-subsidies

The government will enrich its support interventions of the next few weeks with criteria and limits so that state money to the market only reaches those proven to have been hurt by the restrictions.

The phenomenon of “helicopter money” in the first phase of the support measures – with cash handed out with few limits and hardly any criteria needing to be met – was necessary then but will not be repeated.

Consequently, the second round of state loans to corporations, five-year loans known as the “Deposit To Be Returned,” will be implemented using stricter criteria than was used for the first round. The program to subsidize employment will not be “horizontal” but rather will be offered to specific enterprises and only when full-time employment contracts are turned into part-time ones.

Likewise, the compensation for landlords for the rental revenues lost as a result of the 40 percent discount for tenants hurt by the crisis will only be granted after the calculation of the damage suffered by each property owner, while early talks with the creditors on subsidizing borrowers show that income and property criteria will likely be imposed.