Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.
Factsheet for measure ES-2010-27/2620 – measures in Spain
|Country||Spain , applies nationwide|
|Time period||Open ended, started on 28 June 2010|
|Context||COVID-19, Restructuring Support Instruments|
|Type||Legislations or other statutory regulations|
Supporting businesses to stay afloat
– Measures related to foreign trade
|Author||Jessica Durán (IKEI) and Eurofound|
|Measure added||23 June 2022 (updated 03 November 2022)|
The Fund was created with Law 11/2010 of 28 June 2010 on the reform of the financial support system for the internationalisation of Spanish companies, as an instrument for the financing of official support for the internationalisation of Spanish companies. Enterprises that want to start exporting or expand business by enlarging their commercial networks or establish production units abroad are eligible to take part in this initiative.
FIEM offers finance (credits to invest abroad or to conduct export activities and subsidies for consultancy, assessment or technical assistance) for Spanish companies abroad, like export operations. The public funds are combined with private funds supported through a state guarantee.
FIEM offers financing resources by means of four financing modalities:
The government expanded and modified FIEM in May 2020 in the context of the COVID-19 crisis, facilitating the access to finance and making the procedures more flexible. Specifically, these changes increased the annual funds by additional €100 million. Likewise, it might increase of additional €100 million depending on the evolution of the COVID-19 crisis. In addition, the maximum amount that the FIEM can finance per operation was increased to €10 million and the amortisation period was more flexible.
Since its implementation, FIEM has invested €296.95 (2011), €149.77 (2012), €182.30 (2013), €204.65 (2014), €170.72 (2015), €201.64 (2016), €211.5 (2017), €61.8 (2018), €364.7 and €318 million in (2020) with credits. In 2017, 86 companies were supported by FIEM. Also during 2017, FIEM has emphasised its orientation to small and medium enterprises (SMEs) with the objective to increase their average size. An increasing number of SMEs benefits of the support of FIEM while the average size of the credit granted is lower - the average amount in 2017 was €10.8 million (the lowest in the seven years of activity of FIEM). The support to SMEs has been especially reinforced in 2017 with the approval of the FIEM Small Project of Export and Investment, particularly oriented to the financing of projects promoted by this type of companies. During 2017, 3 projects were charged to this line for an amount of less than €1 million, five projects in 2018 and 10 projects in 2019 ( Ministry of Industry, Commerce and Tourism 2020 ).
Strengths: FIEM complies with the objective of mitigating the effects of possible market failures on the operations of Spanish companies abroad, of multiplying private resources and of obtaining induced effects of business operations abroad for the whole of the Spanish economy, in particular of SMEs ( Ruiz Iglesias 2019 ).
Weaknesses: Sometimes the FIEM instrument requirements can be too rigid in granting credits (for example in 2018) ( Ruiz Iglesias 2019 ).
|Does not apply to workers||Applies to all businesses||Does not apply to citizens|
Social partners' role in designing the measure and form of involvement:
|Trade unions||Employers' organisations|
|Role||No involvement as case not in social partner domain||No involvement as case not in social partner domain|
|Form||Not applicable||Not applicable|
Social partners' role in the implementation, monitoring and assessment phase:
Eurofound (2022), Fund for the internalisation of the company (FIEM), measure ES-2010-27/2620 (measures in Spain), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/ES-2010-27_2620.html
30 January 2023
Governments across the EU continue to implement policies to support citizens and businesses in the face of rising food and energy prices caused by the COVID-19 crisis and intensified by the war in Ukraine. This article summarises the policy responses as reported in Eurofound's EU PolicyWatch database from January to September 2022.Article
12 September 2022
Although the worldwide pandemic situation had already disrupted supply chains and triggered increases in energy and food prices in 2021, the situation deteriorated in 2022 with the Russian invasion of Ukraine.Article
12 September 2022
This article summarises the first policy responses that governments across the EU have started to implement to support companies affected by the rising prices, and those with commercial ties to Ukraine, Russia or Belarus.Article
Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.