New Coronavirus What are the government-determined emergency economic measures?

New Coronavirus What are the government-determined emergency economic measures? Apr 7, 20:57

The government will hold an extraordinary cabinet meeting on the evening of July 7, and the total business scale will be about 108 trillion yen, including including payment of 300,000 yen in cash to households whose income has decreased due to the spread of the new coronavirus Emergency economic measures have been decided.

Let's take a closer look at the content of the measures.

Infection prevention medical care

Emergency economic measures say that prevention of the spread of infection is of the utmost importance from an economic point of view.

● Avigan

The company is aiming to stock up on 2 million people by the end of the fiscal year for Avigan, an influenza drug that is expected to be effective against the new coronavirus. If a company requested by the government makes a capital investment to increase production, we will support the entire amount.

● "ECMO"

We will train human resources such as doctors, nurses, and clinical engineering technicians who can handle artificial heart-lung machines called "ECMO," which is used for patients with extremely severe medical conditions, and establish a system to dispatch them to medical institutions that need them. In addition, if a company requested by the government makes capital investment to increase the production of ventilators and other equipment necessary to treat severely ill patients, the company will support the entire amount.

● Mask

In response to the shortage of distribution masks, we will distribute two sets of cloth masks that can be used repeatedly to children, students and teachers who go to schools nationwide, and one for all households nationwide. Two copies are distributed per address.

● Development of regional medical system

To prepare for a further surge in the number of infected people, we will develop a healthcare provision system that focuses on medical care for severely ill patients. A new Emergency Comprehensive Support Grant of more than ¥ 140 billion will be created to enable each prefecture to flexibly secure beds, dispatch support physicians, and secure a medical treatment system for the mildly ill.

● Easy online medical care

In order to prevent the spread of infections at medical institutions, the conditions for using “online medical treatment” via the Internet will be relaxed, and patients who have never been seen before will be accepted from the first medical treatment. Create and publish a list of medical institutions that can receive online medical care, and review the treatment of medical fees paid to medical institutions.

Maintain employment and business continuity

● Maintenance of employment

In order to maintain employment, we will expand employment adjustment subsidies to subsidize some of the benefits such as leave allowances for companies that maintain employees' employment through temporary leave.
From April to the end of June, the emergency response period is set.
▼ In large companies, increase from one-half to two-thirds respectively.

In addition, if you do not dismiss,
▼ 9/10 for small and medium enterprises,
▼ In large companies, raise the subsidy rate to 3/4.
In general, the condition is that the employee must have at least six months of employment insurance, but this time, this condition has been removed, and new employees with a short period of participation and non-regular employees such as those who do not have employment insurance will be removed. It also covers workers.

In addition, a special consultation desk for new graduates will be set up at HelloWork to support job hunting for students whose job offers have been canceled.

● Financing measures

With regard to corporate financing support, in order to support small and medium-sized enterprises whose business performance is deteriorating, the framework for loans and guarantees will be expanded from the previous measures of 1.6 trillion yen to about 45 trillion yen.

Under the loan system implemented by the Japan Finance Corporation, etc., for small and medium-sized enterprises whose sales have declined since March, a loan facility of approximately 14 trillion yen will be secured.
▼ For SMEs and sole proprietors, including freelancers, whose sales have decreased by more than 5%, the interest rate will be reduced by 0.9% over the next three years.
▼ For companies in more severe business conditions, such as a decrease in sales of 15% to 20%, the government compensates for the amount of interest, so that it can be borrowed substantially without interest regardless of creditworthiness or collateral You.

The maximum amount of loan for which interest is covered is
▼ 100 million yen for SMEs,
▼ Small businesses, etc., will be able to refinance loans that have already received from the Japan Finance Corporation for 30 million yen, and are substantially interest-free.

● Private interest-free financing

In addition, the government will make up for the amount of interest, so that private financial institutions can also receive substantially interest-free and unsecured loans.
▼ For small and medium-sized businesses, sales are more than 15%,
▼ In the case of a sole proprietor, if the sales decrease by more than 5%, you can get a loan up to 30 million yen with no real interest.
Loans already received from private financial institutions can be refinanced to interest-free loans up to the limit.
In some cases, government-affiliated financial institutions are flooded with applications and take a long time to execute loans, and financial institutions that can receive interest-free loans spread to regional banks and shinkin banks.

● Guarantees The credit guarantee associations in various places guarantee the funding of small and medium-sized enterprises, while increasing the number of guarantees and reducing the guarantee fee paid by companies.
We will secure approximately 24 trillion yen as a framework for such interest-free loans and guarantees by private financial institutions.

● Crisis Response Loan Large companies and mid-sized companies have reduced their sales and the business environment has deteriorated, so the loan capacity of a special lending system called “crisis response loan” has been reduced from the current ¥ 204 billion to ¥ 5 trillion. Increase.
This is a system in which the government contributes funds to the Development Bank of Japan and Commerce and Industry Chukin, and provides loans to companies whose business performance has temporarily deteriorated due to a disaster or financial crisis.
It has the advantage that it can be financed in the event that it is made after the Lehman Shock in 2008 and that the supply of funds by general financial institutions is not sufficient, or in cases where large amounts of funds are required.

● Support to the aviation industry In the aviation industry, the business environment is deteriorating due to a sudden decrease in passengers and significant suspension of operations and reduced flights. Fees will be deferred for up to six months.

Cash benefits for businesses and households

● Cash benefits for households and individuals

The income is greatly reduced due to the spread of the infection, and a cash payment of 300,000 yen per household is provided to support those in need. The total benefit amounted to 4.2 trillion yen.
The target of the payment is ▼ Koto, and households whose household income in any month between February and June has decreased compared to before the outbreak occurred, and whose household tax has fallen to the level of households exempt from taxation. ,
▼ Households whose monthly income has fallen by more than 50% and the resident tax is less than twice the level of tax exemption. Approximately 13 million households are expected to be covered.

In order to provide cash as soon as possible, the municipal government will make a self-assessment declaration with documents proving the status of income, and we will also consider developing a system that can be applied through the Internet.

The timing of the benefits is not fixed at this time, and the government wants to hurry preparations to be paid as soon as possible.

● Benefit system for businesses

SMEs and sole proprietors who are severely affected by voluntary self-restraint and declining demand will receive non-repayable benefits so that they can continue their business.

Eligible for small and medium-sized enterprises and sole proprietors, including freelancers, provided that their income has decreased by more than half from last year in any month from January to December. .

The amount paid is determined by a calculation method based on the decrease in sales,
▼ Up to 1,000,000 yen for sole proprietors including freelancers,
▼ SMEs and small businesses are up to 2 million yen.

In order to avoid delays due to congestion at the counter, applications are made in principle through the Internet, with a total benefit of ¥ 2,317.6 billion. Sole proprietors can receive benefits even if they are eligible for cash benefits for households.

● Additional allowance for children's allowance To support households raising children's allowance, we will add 10,000 yen per child to the household receiving the children's allowance. It is expected to be added to the amount paid in June at the earliest.
High-income households are not eligible.

In addition, financial support to local governments that exempted national health insurance premiums and long-term care insurance premiums, and support through reduction and exemption of scholarships and tuition fees are also included.

Recovery to economic activity after convergence

● Economic recovery after convergence

After the spread of infection has subsided, the V-shaped recovery phase is to launch a large-scale campaign involving the public and private sectors to stimulate depressed consumption and restore the Japanese economy to a growth trajectory.

● Sightseeing, eating and drinking, events, etc.

For the tourism, transportation, eating and drinking and events businesses that have been severely affected, we will implement a consumption stimulus called the “Go To Campaign” for six months after the spread of the infection has converged.
In tourism, half of the price is paid to those who have purchased travel products through travel agencies and reservation sites, and up to 20,000 yen per person per night.
In addition to discounting room rates, we issue coupons that can be used at tourist facilities, souvenir shops, restaurants and transportation.
In addition, we make reservations for restaurants through the Internet reservation site, and for consumers who visit the restaurant, we can give points of up to 1000 yen that can be used at restaurants and issue meal tickets with a 20% discount.
In addition, at events such as concerts, 20% of the price is discounted or coupons are given to those who purchased through ticket sales companies.
As a cost for implementing these measures, more than ¥ 1.67 trillion is included in the supplementary budget for this fiscal year.

● Revitalization of local economy

In order to support local economies and residents' lives, and to allow local governments to carry out necessary projects after convergence, we will create a new trillion-dollar “Temporary Rural Revitalization Grant” to support initiatives in various regions.

In addition, we will reinstate and reinstate tourist events that have been canceled in various places, so that we can attract more customers, and accommodation facilities that will allow foreign tourists who are falling sharply to reappear. We will dispatch a foreign language tourist guide called an "interpreter guide" as an instructor to advise you on how to serve foreign tourists.

Building a resilient economic structure

● Supply chain reform

We will also work to strengthen the supply network and supply chain for parts and other components that have been greatly affected by the spread of the new coronavirus.

When relocating production bases for products and parts whose production is concentrated in a particular country such as China, SMEs will assist two-thirds of the cost and half of large enterprises.
In particular, for urgent products such as masks, respirators, and protective clothing that are lacking in Japan, the subsidy rate will be raised to three quarters for small and medium enterprises and to two thirds for large enterprises.

In the case of dispersing production bases in Southeast Asia, etc., two-thirds are subsidized for small and medium enterprises and one-half for large enterprises, and the total budget is more than 240 billion yen.

● Digitization

In addition, support for digitalization includes: ▼ Support for introducing “EDTEC”, which uses the latest IT technology for education, at schools, and ▼ Consultation for those who are worried about infection by consulting a doctor or the like via chat or videophone. More than 20 billion yen is included in the expansion of windows.

● Agriculture-related measures

In the measures related to the agriculture, forestry and fisheries industry, we will support sales promotion efforts to maintain the production system for agriculture, forestry and fishery products, whose demand has fallen due to a decrease in foreign tourists and the ban on banquets.

Specifically, in addition to supporting the use of Japanese beef and melon, etc., for which demand is decreasing, for school lunches, we recorded 190 billion yen for promoting the use of flowers at public facilities such as stations, airports, and public halls. I am.

In addition, we will allocate ¥ 24.2 billion to support the purchase of seeds, seedlings and agricultural materials for the next planting of vegetables, flowers and fruits.

In addition, due to immigration restrictions, it has not been expected that about 1,700 foreign technical interns in the agricultural field have come to Japan so far, the cost of dispatching people with agricultural experience or agricultural high school students to the field And 6 billion yen for expenses such as the introduction of new technologies utilizing AI and artificial intelligence.