Government doubles value of credit lines for companies

  • ECO News
  • 13 April 2020

The government doubled the credit lines from 3 billion euros to 6.2 billion euros.

The government doubled the amount of credit lines to support the liquidity of companies, increasing the overall amount from 3 billion euros to 6.2 billion euros, according to radio TSF. Portugal was able to increase this support as it asked the European Commission for authorisation to provide over three billion in state aid.

The Portuguese radio station also says that one of the lines dedicated to industry rises from 1.3 billion to 4.5 billion euros and is refurbished to cover hundreds of activities, as ECO advanced on Friday. This line of support for economic activity becomes available also for sectors such as agriculture, construction, trade in all kinds of goods and services.

The document establishing a new protocol between the State and the banks also prevents banks from demanding more guarantees from companies so they can access credit lines. The grace period increases from 12 to 18 months and the repayment period from four to six years.