translated from Spanish: The Government announced a new line of loans from the Nation Bank for SMEs

The national government with the Minister of Productive Desaroollo, Matías Kulfas, as the chief spokesperson, announced a new line of loans of the Banco Nación, with «reasonable rates», thus seeking to bring a share of relief to the financial situation of micro, small and domestic medium-sized enterprises. Accompanied by the president of Banco Nación, Eduardo Hecker, the measure is incorporated into the one related to this year’s moratorium and jointly aim to resolve the critical situation in which SMEs are located, of which about 25,000 closed during the previous administration. «In total it will be 10 billion pesos for the acquisition of raw materials, wage payments and other expenditures from SMEs. It will be up to 5 million pesos per company within 12 months with an interest rate of around 27.9% to those who are customers of Banco Nación or 29.5% for non-customers,» Kulfas said. 

Matías Kulfas, Minister of Productive Development of the Nation

In this vein, the minister specified some considerations about the financial state of state inherited from the previous administration: «The actual stock of credits to the sector my SME was reduced by 44%, i.e. the credit virtually disappeared and decreased even in real terms that credit stock.» 
«The strong growth in tax debts in a context of high interest rates and a strongly recessionary economy is added»
Considering the case of the moratoriums as the first point of the financial «relief», Kulfas referred to the intention to return normalcy to the financial market: «Public banks accompany a reconstruction process that was heavily punished during the government of Mauricio Macri.» «We have to make a very big effort because SMEs are a fundamental part of production in Argentina. They are 72% of private employment, 50% of Gross Domestic Product,» he said. Eduardo Hecker, for his part, noted that the credit line announced «today is the lowest rate that exists in bank marking. A fee that allows companies that are now in a position to resume production processes and join the revival of the economy that is underway.» Adding to this makes us happy. This announcement in the coming days will be followed by others of the same nature,» the president of Banco Nación said. In this note:

Original source in Spanish

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