Corporate Capital Support Measures Adjusted at 12 trillion yen, additional economic measures by the government May 23 at 5:45
In order to strengthen the financial base of companies whose management is deteriorating due to the spread of the new coronavirus, the government is adjusting its inventory in the direction of establishing a 12 trillion yen funding framework for financing and investment in additional economic measures.
As more and more companies are deteriorating due to the spread of the new coronavirus infection due to the spread of their own laws, there are concerns that the prolonged impact will cause companies to run out of capital.
For this reason, the government will take measures to increase corporate capital and strengthen its financial base in addition to providing financial support.
Specifically, we are considering loans with low repayment stakes, known as “inferior loans” by government financial institutions, the accumulation of investment slots for large and medium-sized enterprises through the Japan Policy Investment Bank, and the expansion of investments and loans for small and medium-sized enterprises through the Regional Economic Revitalization Support Organization.
In order to provide such loans and investments, the government is making adjustments to the new fiscal year in the direction of establishing a funding framework of about 1 trillion yen, and will record the expenses necessary for the second amendment budget proposal for this fiscal year, which will be decided next week.
The government has already set up a 45 trillion yen-scale loan framework, such as an interest-free loan system, to support corporate financing, but the government also plans to increase the loan framework, and we plan to make every effort to maintain business and employment through these measures.