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 PT-2021-31/2065 – measures in Portugal
|Country||Portugal , applies nationwide|
|Time period||Temporary, 29 July 2021 – 31 December 2021|
|Context||COVID-19, European Semester|
|Type||Legislations or other statutory regulations|
Supporting businesses to stay afloat
– Access to finance
|Author||Heloisa Perista and Maria da Paz Campos Lima (CESIS)|
|Measure added||19 October 2021 (updated 18 November 2021)|
Given the current scenario and what is expected in the near future, namely in terms of progressive deconfinement, the Government believes it is necessary to adopt additional measures to strengthen the solvency of viable companies that are suffering a significant drop in turnover due to the extended duration of the reduction of activity in certain sectors most affected by the pandemic.
The Decree-Law 63/2021 of 28 July creates the Companies Capitalisation Fund. This has multiple aims:
This decree-law was rectified by the Declaration of Rectification 28/2021 of 25 August.
This decree-law creates the commercial companies capitalisation fund, the purpose of which is, inter alia, to strengthen and restore the solvency of companies (mostly small and medium-sized enterprises) that are viable in the medium and long term, but whose balance sheets and markets have been affected by the effects of the COVID-19 pandemic.
It approves an amendment to Decree-Law 10-J/2020 of 26 March, in its current wording, which now allows the object of the Mutual Counter-guarantee Fund to include, also on an exceptional and temporary basis, to deal with the economic impacts resulting from the COVID-19 pandemic, the provision of guarantees for companies as beneficiaries, including for supporting, until 31 December 2021, restructuring or refinancing processes of credit operations previously contracted, provided there is recognition by the managing company Banco Português de Fomento, S. A. (BPF, of its relevant interest in supporting the economic and financial recovery of these companies.
The purpose of the Fund is to:
The Fund has an initial endowment of €320 million, through IAPMEI, I.P., with funds from loans granted to it by the Portuguese state under the Recovery and Resilience Plan, without prejudice to additional allocations made possible by other sources of European funds.
The Fund shall be wound up after 10 years, without prejudice to the possibility of extension of its duration for consecutive periods of five years, up to a maximum total of 10 years, by decision of the members of the government responsible for the areas of economy and finance, following a proposal by the management company.
Information not yet available.
|Does not apply to workers||
||Does not apply to citizens|
Company / Companies
National Recovery and Resilience Facility
Social partners' role in designing the measure and form of involvement:
|Trade unions||Employers' organisations|
|Form||Consultation through tripartite or bipartite social dialogue bodies||Consultation through tripartite or bipartite social dialogue bodies|
Social partners' role in the implementation, monitoring and assessment phase:
Social partners were consulted at the Standing Committee for Social Concertation.
Social partners' views are not known.
Eurofound (2021), Companies Capitalisation Fund, measure PT-2021-31/2065 (measures in Portugal), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/PT-2021-31_2065.html
30 January 2023
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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.