Covid-19: New budget to massively support the French economy
To cope with the persistence of the coronavirus crisis and its economic and social consequences, the 45 billion euros emergency plan put in place in March to protect and support the economy and employment is extended and strengthened, to reach more than 110 billion euros. The Government will adapt it whenever necessary to support the health care system and preserve businesses and jobs to allow the economy to recover as quickly as possible.
This adaptation of the economic and budgetary strategy in response to the coronavirus epidemic will be presented to the European partners in the framework of the Stability Program for 2020 (PSTAB), which will be sent to Parliament before its transmission to the European Commission at the end of April.
An additional amending budget to strengthen the emergency plan
Considering the growth forecast of -8% in 2020 and the extension of the confinement until May 11 announced by the President of the Republic, the Government has presented a second amending budget to strengthen its first emergency plan engaged to deal with the Covid-19 crisis.
Read more: Government measures to assist companies and workers impacted by COVID-19
The resources allocated to the emergency measures in favor of employees and companies are heavily increased, with 24 billion euros provided for partial activity and 7 billion euros in the solidarity fund dedicated to the smallest businesses.
This additional amending budget also opens an exceptional amount of 20 billion euros for strengthening the State’s financial holdings in strategic companies facing difficulties. It will also support the Economic and Social Development Fund (FDES), whose credit envelope for fragile businesses will reach 1 billion euros.
A provision of 8 billion euros is planned for exceptional health expenses to deal with the epidemic, including equipment and masks, measures on daily allowances and exceptional remuneration for the nursing staff, and a first tranche to cover the additional expenses linked to the crisis.
Besides, there are almost 315 billion euros in guarantees granted by the State in favor of businesses, and the 540 billion euros of the EU common plan to support health systems, the economy, and employment of the Member States.
Business France provides answers to your questions relating to social and financial measures
You can find answers to the most asked questions on our Attractiveness Platform which is regularly updated.
Find already here some answers on how to benefit from the different sets of measures put in place by the French Government:
- Q&A relating to COVID-19 social measures
- Q&A relating to COVID-19 financial measures
- Q&A relating to COVID-19 tax measures
Contact us for more information and support regarding COVID-19 related issues, or any request regarding your investment project in France.
