September 25, 2021

France cut back on companies after a 24 240 billion bill

Issued:

The finance ministry says France has given companies about 240 billion euros to keep them afloat during the crisis, mainly in the form of state-guaranteed loans. But from the end of September, the aid will be designed to benefit only the most affected sectors, such as tourism and culture.

Early in the Corona virus crisis, President Emmanuel Macron promised to help companies run “whatever the cost” to limit the damage to the French economy – the second largest in the eurozone. ۔

France has spent 80 billion euros, or about 44% of GDP – since then in various support programs for companies, and has guaranteed 160 billion more bank loans to businesses.

The money helped protect businesses that have been forced to close during a nationwide lockdown since the outbreak of the epidemic in March 2020.

“The bill allows us to save jobs, save our companies and save the economy,” said Finance Minister Bruno. Le Maire told French Public Radio. on Monday.

Growth on the horizon.

The government expects the economy to grow by 6% this year.

France’s recovery will “continue,” Le Maire said, thanks in large part to higher consumer spending, which is helping the economy operate at “99% of its capacity”.

The number of applications for state-sponsored emergency loans fell to 50,000 in July from 500,000 in May.

In light of the recovery, Lee Mayer said it was time to get out of the “whatever the cost” frame of mind.

“This does not mean we will leave the companies that are still struggling,” he told reporters after a meeting with business federations.

Although direct payments from the Solidarity Fund will be phased out by the end of next month, companies in the tourism industry are still struggling to benefit from state aid, which aims to cover most of their fixed expenses. To be fulfilled

Health pass

Lee Meyer said the laws, introduced July 21, require people to show proof of vaccination, such as access to cafes, major shopping malls and trains without affecting the economy, weekly payment card figures According to the count

But some sectors claim otherwise and are actively pushing for continued financial cooperation.

Cinemas were kept alive thanks to state aid, but industry professionals say they suffered a “new and violent blow” during Cove 19. Health pass became mandatory Entering cinemas, theaters and other associated cultural venues.

A member of the National Pass Federation of French Cinema said the introduction of the Health Pass cost them an “additional 50 50 million”. Sunday paper. on Sunday.

It wants aid to be expanded, and compensation for loss of earnings during the first three weeks of the health crisis.

Cafe and restaurant owners have also assessed the loss of their earnings due to the health pass. On Friday, four of the industry’s leading professional organizations presented an extensive study of the summer season.

It highlighted the big differences between small independent businesses, fast food chains and large regional differences.

While 60 percent of restaurants lost at least a fifth of their business between July and August, more than a quarter of the sector performed better than in the summer of 2019.

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