Financing support for new corona companies Over 3 trillion yen in June Policy Finance Corporation July 17 4:36

The Japan Finance Corporation, which serves as a window for financial support for companies affected by the new coronavirus, last month provided 210,000 loans, amounting to more than 3 trillion yen. Depending on the status of the infection, the number of applications for loans may continue to increase.

In order to support the financing of SMEs and sole proprietors affected by the new coronavirus, the government has established a real interest-free and unsecured lending system through the Japan Finance Corporation and private financial institutions as an economic measure.

According to AFC, the total of the loans made last month, including these interest-free and unsecured loans, amounted to more than 210,000, amounting to 3.13 trillion yen, an increase of approximately 25% compared to the previous month.

The loan provided by AFC has sharply increased since April when the emergency was declared and self-restraint was called for, and the results of the loan last month indicate that many companies still face severe cash flow problems.

In addition, “crisis response loans”, which is provided mainly by small and medium-sized enterprises by Commerce and Industry Chugoku as an economic measure of the government, increased by 4% from the previous month to more than 430 billion yen.

It is said that loan consultations for both financial institutions have decreased more than in the past, but depending on the trend of the number of infected people in the future, it is possible that the number of loan applications may increase again, including holidays for the time being. I will continue the telephone consultation system.