Coronavirus: Government expands plans for €400m in aid

Passengers wearing face masks arrive at Dublin Airport yesterday after disembarking flights. Picture: Colin Keegan

The Government has expanded on its plans for €400m in financial aid for businesses impacted by the spread of coronavirus, including the release of loans of up to €1.5m at reduced rates.

Rescue packages will also be made available, while micro-finance loans will be increased. Credit schemes with banks will also be opened up for businesses affected by the virus and its spread.

Supervalu in Clonakilty had a hand sanitiser station in its foyer yesterday. Picture: Andy Gibson

Business Minister Heather Humphreys said in a statement: “I am hearing from many businesses that they are very concerned about their cashflow in the coming weeks. I want to reassure them that there are a number of schemes that can help them meet their short-term working capital and liquidity needs.”

“This situation is changing from day to day, and I will continue to work across government, with the representative bodies, and with the banking system to respond to ongoing developments in order to protect and support Irish businesses.”

Trinity College Dublin has closed the Book of Kells, the Science Gallery, and other areas of the college. Picture: Sam Boal

The Department of Business said a €200m working capital scheme would allow businesses draw down loans of up to €1.5m at reduced rates. A separate €200m package for enterprise supports will be available through Enterprise Ireland for “vulnerable but viable firms” that need to restructure or transform their business.

The department also said maximum loans available from MicroFinance Ireland would be increased from €25,000 to €50,000.

Workers spray disinfectant as a precaution in the main hall of the Lebanese parliament, in Beirut, yesterday. Picture: AP

It was also announced that a credit guarantee scheme will be specifically available to Covid-19 impacted firms through state-owned banks, with loans of up to €1m available of terms of up to seven years. The department is also working with the EU to tweak state aid rules for firms.

Efforts to keep food supplies stocked up are also being supported. The department said it was still in talks with key stakeholders to ensure continuity of food supply and that Ms Humphreys would chair a forum of large retail multiples, retail bodies and grocery distributors and food manufacturers.

Hand sanitisers at a conference at the Ballygarry Hotel Tralee, Co Kerry. Picture: Domnick Walsh

Earlier, Finance Minister Paschal Donohoe also said he was aware of calls from hoteliers, restaurant owners, and others to reduce the tourism rate of Vat back down to 9%.

He said he would be considering problems with the sector amid fears of a huge fall in tourism numbers coming here.

Meanwhile, Taoiseach Leo Varadkar held talks with EU counterparts yesterday in a video conference.