- A total of 84,500 million euros have already been released, of which 60,000 are used to guarantee loans to the self-employed and SMEs.
- The companies have already received more than 50,000 million euros of guaranteed financing with the Line of Guarantees.
- Almost 400,000 guaranteed operations have been approved, of which 98% correspond to SMEs and the self-employed.
- The characteristics, processing method, guarantee coverage percentage (80%) and distribution quotas established for the previous sections are maintained.
May 19, 2020. The Council of Ministers today approved the Agreement that activates the fourth section of the Line of Guarantees for companies and the self-employed, adopted by the Government on March 17 for an amount of up to 100,000 million euros.
The new tranche of 20,000 million euros will be used entirely to guarantee operations of SMEs and the self-employed, as they are the ones that are resorting to the greatest extent to the Line of Guarantees and play an essential role in sustaining economic activity and employment .
With the approval of this new tranche, 80,000 million euros have been made available to companies and the self-employed to guarantee the financing granted by credit institutions, financial credit institutions, payment institutions and electronic money institutions.
Additionally, 4,000 million euros have been approved to guarantee the issuance of promissory notes in the Alternative Fixed Income Market (MARF) and 500 million euros to reinforce the reavality that CERSA grants to Reciprocal Guarantee Companies.
Of the total volume of approved resources, the self-employed and SMEs already benefit from 60,000 million euros in guarantees to guarantee their liquidity and cover their working capital needs.
A total of 123 financial entities have signed the corresponding collaboration agreements and are distributing the financing with the guarantee of the State to clients who need it.
The wide coverage and territorial implementation of credit institutions, rural savings banks, financial credit institutions, electronic money institutions and payment institutions guarantee the distribution of guarantees between companies and self-employed workers in all sectors of activity and anywhere in the country. country.
More than 50,000 million euros in financing
Spanish companies have already received more than 50,000 million of guaranteed financing with the Line of Guarantees. With data as of May 17, 394,543 financing operations have been approved, with a guaranteed amount of 38,631 million euros.
The largest volume of operations and financing is concentrated in SMEs and the self-employed, with 387,039 loans approved, 98% of the total, and a guaranteed amount of 26,992 million euros. These guarantees have allowed these companies to receive 33,804 million euros of financing to guarantee their liquidity and cover their working capital needs.
The largest companies have received more than 17,000 million euros in financing, through 7,504 operations guaranteed with 11,638 million euros.
Characteristics of the Guarantee Line
The SMEs and the self-employed affected by the economic effects of COVID-19 may request the guarantees of this fourth tranche, provided that the applicants were not in default as of December 31, 2019 and in bankruptcy procedure as of March 17, 2020.
The guarantee guarantees 80% of the new loans and renewals of operations requested by the self-employed and SMEs and is valid for the term of the loan granted, with a maximum of five years.
Interested SMEs and freelancers may request a guarantee for their operations until September 30, 2020. The term may be extended, always in line with the European Union State Aid regulations, by means of a Council of Ministers Agreement.
The distribution of the line of guarantees among the entities will be carried out with the same criteria as those established in the previous tranches, based on the market share reported by each financial institution to the Bank of Spain at the end of 2019.
The maximum volume assigned for each entity will be valid until June 30. From that date, the amounts of guarantees assigned and not used by the entities will be distributed among the rest of the entities, proportionally to the amount of the guarantees that they would have used up to that date.
The ICO disseminates biweekly through its website (https://www.ico.es/web/ico/linea-avales-arrendamiento-covid-19) data on the evolution of this line of guarantees, with information by beneficiary company size, activity sector and autonomous community.