A guarantee scheme of 50 billion euros in total has been activated by the Federal State for all new credits and new lines of credit with a maximum duration of 12 months that banks grant to non-financial companies and to viable independents.
However, only two billion were used, mainly because the loans, the risk of which is 80% guaranteed by the government, meet strict rules.
Danny Van Assche of the organization of Flemish self-employed Unizo indicates that SMEs report to him that banks offer them alternative credit formulas instead. Often, they also require other collateral such as a mortgage. He asks that banks fully play their role in helping businesses during the crisis. “They have the tools for that,” he said.
The banking federation, Febelfin, acknowledges that the system has been little used. “But that can still evolve. This” bazooka “cannot be used to finance an expiring moratorium. It must be new money. If the recovery starts, the demand will increase”, believes Karel Baert, CEO of Febelfin.
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