New Corona Crisis Response Loan for Emergency Economic Measures Expands to 5 Trillion Yen 6:12 on April 4
In response to the urgent economic measures following the spread of the new coronavirus, the government has decided to increase the credit line of a special lending system called “crisis response financing” to about 5 trillion yen, and will make every possible effort to support corporate financing. Was expected.
“Crisis response financing” is a special system in which the government contributes funds to the Development Bank of Japan and other institutions to provide financing to companies whose business performance has temporarily deteriorated due to a disaster or financial crisis.
The government has set a quota of 204 billion yen as a second emergency response measure decided last month, but has solidified its policy to expand this to around 5 trillion yen at a stretch.
With the decline in demand due to the spread of infection, the business environment is rapidly deteriorating in a wide range of industries, including large companies, and the aim is to strengthen financing support by expanding loan facilities.
In addition, the government has proposed that the credit guarantee associations in each region will increase the amount of guarantees and reduce the guarantee fee paid by companies for the system of guaranteeing corporate borrowings, and small and medium-sized enterprises will be substantially interest-free from private financial institutions. To be able to get a loan.
The government is planning to include such support in the emergency economic measures that will be put together early next week, and is urgently working to reduce the total amount of funding support such as loans and guarantees to over 40 trillion yen.