KfW pays out €19.3bn in coronavirus aid loans
Germany’s state development bank KfW has approved €19.3 billion ($20.99 billion) of emergency loans to help companies bridge liquidity gaps and survive the coronavirus pandemic.
The figures, compiled by the finance and economy ministries, show KfW received loan applications from more than 36,600 companies which requested a total sum of €33.4 billion. The bank approved €19.3 billion, or 58% of the total sum, but it also approved 99% of all loan applications. This means a small number of applications is still being checked, with the companies in question requesting a relatively large sum.
Chancellor Angela Merkel’s government has compiled a rescue package worth more than €750 billion to mitigate the impact of the coronavirus outbreak on Europe’s largest economy, with the government taking on new debt for the first time since 2013. The measures include a debt-financed supplementary budget of €156 billion and a stabilisation fund worth €600 billion for loans to struggling businesses and direct stakes in companies.
