Wednesday , 6 December 2023
Home Global Economy Aid for companies extended until the end of June
Global Economy

Aid for companies extended until the end of June

The bridging aid for companies with corona-related sales slumps will be extended until the end of June. As the Federal Ministry of Economics said when asked by the dpa news agency, an agreement was reached between the departments on an extension.

Program is yet to be determined

The bridging aid IV has so far run until the end of March. Economics Minister Robert Habeck spoke out in favor of gradual opening steps in the pandemic at the weekend. To protect the economy and employees, an extension of the Corona economic aid until the end of June, analogous to the regulations on short-time work benefits, is also necessary and sensible, according to the ministry.

In the system of bridging aids, it was created that they help and take action when necessary, it said. If the economy picks up, the criterion of a 30 percent drop in sales ensures that only those companies that are still suffering from restrictions receive the help. The individual program conditions are currently being finalized.

Funding level is staggered

The bridging aid, which is worth billions, is the central crisis instrument of the federal government to cushion the consequences of the pandemic for companies and jobs. Companies with a corona-related drop in sales of at least 30 percent are supported. The comparative value is usually the respective month in the pre-Corona year 2019. Fixed operating costs such as rent and leases or expenses for electricity and insurance are reimbursed.

The subsidy amount is staggered depending on the extent of the drop in sales. Habeck had already signaled last week that the IV bridging aid would be extended by three months. The federal government had already extended the regulations that make it easier to receive short-time work benefits by three months until June 30th.

Leave a comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Related Articles

Global Economy

Spotlight on 2023: S&P 500 and the Significance of the 4400 Level

In our past exploration of the financial landscape of 2023, we delved...

Global Economy

AI and Data Analytics Drive Efficiency in Money Laundering Detection

BIS Innovation Hub Turns to Tech for Money Laundering Detection The BIS...

Global Economy

Russell 2000 Gains Momentum as Tech Stocks Outperform Value

Tech stocks have dominated the equity markets in recent months, surpassing value...

Global Economy

Crypto Exchange Bybit Announces Exit from Canadian Market Amid Regulatory Changes

Regulatory Shifts Prompt Bybit's Strategic Withdrawal from Canadian Crypto Market