of The parliamentary Committee of Finance has released on Thursday give the green light to put the bill on a state guarantee of a € 50 billion in the creation of loans to corporates, sme’s and not-for-profit organizations. That was almost unanimous. Only the LABOUR party voted against it. The text will usually be later in the day, with the approval of the plenary Room.

The proposal is, not all of the practical terms and conditions of the agreement, the government, last week joined with the National Bank of belgium and the financial services industry. The government is committed to more cooperation with the European Commission in the framework of the state aid rules. “In europe, you may not appreciate it if we now have a business vote, which is what we have to discuss,” said Finance minister Alexander De Croo (Open Vld).

The prime minister hopes to be halfway through the next week for more clarity. The result, however, is that there are many things by royal decree, to be dealt with. In any case, The Croo, the significance of the signal, and with that approval will be given. “There is stability and certainty are needed. The signal is very, very important to the whole economic tissue. We need to avoid cash-flow problems for a knock-on effect for sure, and that there are thousands of people out of their job to lose.

Postponement of the payment:

The Croo pointed out that the banks, unlike during the financial crisis a decade ago, and now it’s about the buffers, and believes it is “the logic of self” in the current crisis that has hit the buffers may also be used. “The financial sector’s slide, here are a few of taboo’s on one side, and I value that, but it also fits in with the current situation.”

According to the agreement, a commitment by the banks to viable businesses and self-employed individuals as well as families with mortgage payment difficulties are likely to have, a deferment of payment up to 30 september, without any charge of fees.

The federal government has come up with a scheme for all of the new loans have a maximum duration of 12 months. Also, it is evident that the viability of businesses and self-employed persons will need to go to. By an amendment proposed by the greens, there are also non-profit companies in the.

Photos: ISOPIX < / P> “Save” enough?

The total amount of the guarantee amounts to a maximum of 50%. This is equivalent to about 10 per cent of Belgium’s gdp, which, according to the minister, in line with what exists in countries such as France and Germany. Or is this “exit” is sufficiently large, it is, according to De Croo, nevertheless, it is difficult to predict. However, without this measure, the impact on the public finances, also, were able to be observed.

The amount of losses on the loans will be split between the banks and the government. Be the first one to 3 percent of the total amount of new credit by the financial sector act. The loss is between 3% and 5% will be fiftyfifty split. The losses are higher than 5%, will be 80 per cent of which is borne by the national government and the 20 per cent of the financial sector.

The Croo gave it to you that there is a constant monitoring to see if things work out as they should have. He was thinking of making a monthly report, not bank by bank, but an aggregate. It will always be a bank that is a kredietevaluatie to do it on the basis of the situation as a pre-treater.