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Greece financial support measures for employees, businesses during Nov lockdown

The Greek government on Thursday announced a 3.3-billion-euros package of additional support measures for enterprises and workers hit by the introduction of a second round of a lockdown in the country beginning Saturday.

The measures include:

a one-off financial support of 800 euros for workers whose contracts are suspended by companies shut down bu government order due to lockdown restrictions.

Unemployment benefits expiring in November and December will be extended by two months.

A  financial support of 400 euros will be given to 130,000 non-subsidized long-term unemployed.

 

expanding a fourth round of state loans to enterprises reaching 1.0 billion euros, the immediate return to property owners of 50 pct of damages because of the mandatory reduction of rents,

Shut down businesses will have the option of suspending Value Added Tax payments for November or pay their dues in 12 installments with zero interest. They will also have the option to temporarily freeze the November installment for arrears in taxes and social security contributions. Employees whose contracts are suspended are being granted the same privilege.

Businesses that have been shut down and private tenants whose employment contracts have been suspended are entitled to a reduction of 40% in rent.

Immediate return to property owners of 50% of damages because of the mandatory reduction of rents.

Expand a fourth round of state loans (Deposit to Be Returned scheme) fro small and medium enterprises reaching one billion euros.

Banks, meanwhile, have stepped up by accepting the suspension of all loan installments for the month of the lockdown, Staikouras said.

He also announced a new plan to extend payment of bank cheques.

He said that Greece has cash reserves of 37.5 billion euros – half of which was amassed over the past year – and that the support package has been “extended and expanded” to bolster the job market and households, but also to safeguard “social cohesion.”

The minister estimated that a full lockdown will cost over 2.3 billion euros while the final draft of the 2021 state budget will include a revised forecast for a deeper recession this year.

He clarified, however, that in 2021 there will at least be no fiscal rules and targets in Europe, which will mean there is fiscal flexibility.

The lockdown was announced by the prime minister on Thursday and will be effective until November 30, 2020.

sources: kaathimerini, amna, others

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One comment

  1. But how many businesses are now changing their KAD codes to be able to stay open?