Austria presented aid package for the economy

Austrian Federal Government presented details of the aid package for the Austrian economy. Since March 27, self-employed persons and small businesses can submit applications for up to €6K in emergency aid. The Emergency Fund will grant loans which do not have to be entirely paid back, website of ABA – Invest in Austria agency reports.

Payments from the €1 bln Hardship Fund should begin this week. It was set up for the purpose of providing assistance to self-employed persons and small businesses. Payments of €1K should be made immediately in the initial phase, and a maximum of €6K is possible in the second phase, as Federal Chancellor Sebastian Kurz, Vice-Chancellor Werner Kogler, Federal Minister of Digital and Economic Affairs Margarete Schramböck and Minister of Finance Gernot Blümel noted at a news conference. The applications will be handled by the Austrian Federal Economic Chamber.

The €15 bln Emergency Fund is designed to aid sectors directly impacted by the coronavirus, such as the gastronomy and retail sectors. The Emergency Fund will make a mix of loans and grants available to preserve the liquidity of companies. Loans amounting to a maximum of a firm’s quarterly revenue can be granted, with interest rates kept as low as possible.

The priority is to make money available to companies as quickly as it can be done, implementing the program on a goodwill basis as much as possible and requiring only as much control as necessary. Federal Minister of Digital and Economic Affairs Schramböck emphasized the fact that “this involves support provided by the Hardship Fund, not a loan. The money does not have to be repaid.”

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