Dutch Government speeds up measures for entrepreneurs affected by corona
Small to medium sized companies that get into financial difficulties due to the corona crisis, can apply for a bridging loan as from Monday with a large part of it guaranteed by the Government. This is reported by State Secretary Mona Keijzer of Economic Affairs.
Keijzer speaks of a first step that will immediately make 300 million euros in extra financing available for entrepreneurs. The State Secretary announced the measure last week, but said at the time that it might not take effect until the end of March. According to Keijzer, the scheme is ‘essential for the liquidity of smaller entrepreneurs who are losing income or production due to the coronavirus.’
The Cabinet is also considering additional support for self-employed persons (without personnel). Minister Eric Wiebes of Economic Affairs has discussed this with Minister Wouter Koolmees of Social Affairs. According to Wiebes, for the self-employed the legal safety nets, such as welfare benefits, are available. This special assistance may be granted more generously, says the Ministry of Social Affairs. The Cabinet hopes to say more about this in a few days’ time.
The European Commission expects the economy of the European Union to decline by around one per cent this year under pressure from the negative effects of the outbreak of the new coronavirus. In February, Brussels was still expecting the EU economy to grow by 1.4 per cent this year.