The government will support companies with 40 billion dollars

Finance minister Nicolai Wammen has Wednesday dinner presented a proposal from the government to help companies affected by the current crisis, where large part

The government will support companies with 40 billion dollars

Finance minister Nicolai Wammen has Wednesday dinner presented a proposal from the government to help companies affected by the current crisis, where large part

Ann McDonald
Ann McDonald
18 mart 2020 Wednesday 09:00
9 Reads
The government will support companies with 40 billion dollars

Finance minister Nicolai Wammen has Wednesday dinner presented a proposal from the government to help companies affected by the current crisis, where large parts of the country are closed down and employees sent home.

the Government's proposal includes using a total of 40 billion dollars, which will go directly to the companies.

- There is a historical element, and we have never done it here before, it sounded from the minister Wammen at the press conference.

He says that the proposal will consist in the fact that the state must pay some of the fixed costs for the affected companies.

in Addition, the state will, according to the proposal cover 75 percent of the omsætningstabet for the self-employed, however, a maximum of 23.000 dollars per month and a total of 70,000 in the course of the next three months, as compensation for the situation they ended up in as a result of coronakrisen.

Compensation can constitute a total of 34.500 euros per month, if the self-employed have a co-working spouse. It is a requirement that the company has more than 10 full-time employees.

- today, the focus is on professions which, in a period of time can not be driven. On soloiværksætteren, who may have put his own and his family's economy to create a business. On tømrervirksomheden, the hairdresser and the restaurant, says the minister of trade Simon Kollerup at the press conference.

the Government will give a cash subsidy to pay the fixed expenses. The offer applies to 'the particularly hard-hit businesses'. The government offers to pay up to 80 percent of the fixed expenses.

According to Nicolai Wammen has not put any cap on how much you want to spend on initiatives, but expect it to cost 40 billion over the next three months.

the Proposals are not yet passed by Parliament, but the minister of finance underlines, that in a hurry, and the government therefore to be an urgent consideration of the proposals, so companies can quickly be offered assistance.

Graphics: Business affairs

Facts: the Proposal for compensation of fixed costs

Principles for temporary compensation scheme for fixed costs, etc.

1. Companies across industries must be able to get compensation

2. Compensation is targeted to companies with a large decrease in revenue in denmark (more than 40 per cent).

3. The compensation is targeted, fixed costs, and constitutes between 25 and 80 per cent.

4. Compensation cover up to three months and shall be paid as soon as possible

5. If the turnover has fallen substantially less, compensation shall be paid back

Source: ministry of Finance/Business affairs

Updated: 18.03.2020 09:00
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