Covid-19 Credit Guarantee Scheme has been extended

The Tánaiste and Minister for Enterprise, Trade and Employment Leo Varadkar TD announced on the 17 January that the COVID-19 Credit Guarantee Scheme has been extended until the 30 June 2022.

The Scheme offers a partial Government guarantee (80%) to participating finance providers against losses on qualifying finance agreements to eligible SMEs, small Mid-Caps and primary producers. It is designed to incentivise participating finance providers to continue to play their role in supporting the availability of additional liquidity to Irish businesses.

Loans under the Scheme range from €10,000 to €1 million, for terms of up to five-and-a-half years. Financing will be offered through a range of products, including term loans and working capital loans. Loans of up to €250,000 under the Scheme are available unsecured (except where this is a requirement of the product feature, as in the case of asset finance, invoice discount facilities)

This extension has been made possible by an extension of the European Commission’s State Aid Temporary Framework, which allows exceptional aid for businesses impacted by COVID-19.