Page 58 - Monaco-Economy-118

Update

€150 Million to support the economy in 2021

par Milena Radoman

Since the start of the crisis, the state has been keeping the Monégasque economy afloat.

«Even though the Monégasque economy has benefiting from this
held up rather well, aid and support measures system: in 2021, the
for sectors in difficulty must be maintained and eligibility threshold
adapted to the context. Thus, it is nearly €150 for loss of turnover
million, entered in the 2021 Budget, which will is reduced to 40%
make it possible to support economic players (instead of 50%) and
with immediate aid and, in the long term, to the share of monthly
support the recovery,” announced at the end of rent (excluding charges)
February Jean Castellini, Government Councillor taken into account in the
and Minister of Finance and Economy – and calculation of the aid is
this is no surprise because, since the beginning increased from 50% to
of the crisis, the Monégasque state has kept 80%. The special allowance
the economy going and supported sectors in (for ice cream parlours,
difficulty and which have suffered by the decline bars, kiosks, restaurants,
- and even the total stoppage - of activity, the tourism, events and gyms)
absence of foreign customers, or the impact of has been increased to €2,500
social distancing measures. The government per month for the first quarter
has put on the table some €400 million for crisis of 2021. Before the Grand Prix,
management (included in the 2020 and 2021 an exceptional financial aid
budgets and of which nearly €260 million has was fixed. Restaurants having
already been spent). €110 million was spent in to dismantle their terraces for
2020 on state-funded furlough extended until the installation of the circuit and
June. Created in March 2020, the Covid-19 Unit stands will receive a subsidy, the
alone has allocated more than €30 million in amount of which is calculated on
direct aid to 2,000 requests. presentation of the invoices for © Depositphotos/frenta
For a year now, the Economic Recovery and dismantling/storage/assembly
Support Commission (CARE) has particularly of the terraces, up to 50% of the
supported the sectors of activity impacted by expenditure made by the establishment and for 1,492 employees), extraordinary minimum
the global crisis. Since July 2020, nearly €9 within a €15,000 limit. income (889 beneficiary companies) and aid to
million in aid has benefited 226 companies in As for loans guaranteed by the state (€53 small companies (843).
the retail and wholesale trade (29%), restaurants million allocated between March and December
and drinking places (28%), as well as events 2020), their maximum duration has been Buy Monégasque
and tourism (27%). CARE aid also covers the extended to 84 months, including 24 months Since December, several measures are also
activities of sports coaches (37), taxis (95), of deferral, so as not to increase the annual intended to boost local consumption, via the
sports hall activities (3), plus additional aid to financial burden of companies. The final bill Red and White Fund. “The government offered
shops and restaurants on the Rock of Monaco for this state aid includes partial exemption vouchers to civil servants, state employees,
(50). There’s also a little extra for companies from employer contributions (206 employers retirees and Princess Grace Hospital workers,
despite the economic context. This works out at
more than 9,000 beneficiaries, which represents
Mandatory Teleworking more than €5.5 million-worth of purchases
in our shops,» Laurence Garino, Director of
According to the Department of Employment, 1,039 companies declared having Monaco Welcome Office. The recovery has also
implemented remote working in March and this concerns a total of 10,190 employees: involved support for the digital transformation
«The Health and Safety Unit of the Labour Inspectorate is currently carrying out checks of Monégasque companies, notably via the
on companies in order to verify compliance with the ministerial decision but also to Blue Fund. Since December 2020, more than 56
raise awareness of the importance of massively implementing remote working.» financing requests have been made to Extended
Monaco by companies.
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