Factsheet for measure
IT-2020-12/468
–
Updated
– measures in Italy
Guarantee fund for SMEs
Fondo di Garanzia per le piccole e medie imprese
Background information
Decree Law No. 18/2020 of 17 March 2020 introduces temporary exception with reference to the current operating rules of the Guarantee Fund for small and medium enterprises. This measure was undertaken in order to enhance the role of the Fund in supporting businesses affected by the effects of the COVID-19 pandemic (art. 49). The measure is taken by the government within a bundle of other measures to support businesses to stay afloat during the crisis.
Content of measure
Art. 49 of the Decree Law strengthens the intervention capacity of the Guarantee Fund for small and medium enterprises by introducing temporary exceptions from its current operating rules. In particular, the Decree Law provides that for a period of nine months from its entry into force:
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the guarantee is granted free of charge;
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the maximum guaranteed amount per individual company is heightened to €5 million;
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the coverage of the guarantee is 80% (90% in case of reinsurance) on all operations
of financing with a maximum guaranteed amount of up to €1.5 million.
To finance the above measures, the Fund's allocation has increased by €1.5 billion. The eligible companies are the ones classified as small and medium enterprises according to the EU legislation, provided that they don't have, at the date of publication of the Decree Law, non-performing exposures.
Updates
The following updates to this measure have been made after it came into effect.
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13 October 2020
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The Government through Law Decree No. 104 of 14 August 2020 (art. 64) has foreseen annual increases of the financing for the Guarantee Fund for small and medium enterprises amounting to:
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€3,100 million for the year 2023.
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€2,635 million for the year 2024.
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€1,600 million for the year 2025.
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15 April 2020
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See case
IT-2020-15/636
for redefinition and extension of the measure.
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Use of measure
To finance the above measures, the Fund's allocation has increased by €1.5 billion. With this additional allocation (in the case of 80% coverage of all transactions) the
Fund could favor the granting of new loans for approximately €55 billion (amount that
it would drop if the coverage percentages increased to 90%).
Target groups
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Workers
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Businesses
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Citizens
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Does not apply to workers
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SMEs
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Does not apply to citizens
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Actors and funding
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Actors
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Funding
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National government
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National funds
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Social partners
Social partners' role in
designing the measure
and form of involvement:
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Trade unions
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Employers' organisations
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Role
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No involvement
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No involvement
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Form
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Not applicable
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Not applicable
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Social partners' role in the
implementation, monitoring and assessment phase:
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No involvement
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Main level of involvement: Unknown
Involvement
Social partners were not involved.
Views and reactions
Social partners were not involved in the decision making process.
Sources
