To help companies overcome the Covid-19 crisis, France has granted 240 billion euros in aid since March 2020, including a third of grants and two thirds of loans, said the Minister of the Economy, Bruno. The Mayor, this Monday on France Inter.
The money given “to companies or employees to protect purchasing power is 80 billion euros,” said the minister before a meeting in Bercy on maintaining some targeted aid for companies in difficulty.
More than 685,000 loans guaranteed by the State
“To this are added loans – but these are loans, it has nothing to do, economically, with subsidies – of the order of 160 billion euros, loans guaranteed by the State, more other forms of loan, ”added Bruno Le Maire. He recalled that the Solidarity Fund had cost around 35 billion euros, as well as the support by the State of the partial activity, while the exemptions of charges amounted to 10 billion euros.
Since the onset of the health crisis, more than 685,000 state guaranteed loans (PGEs) have been granted for an amount of 139.3 billion euros, according to the Ministry of the Economy. Other loans, in particular participatory loans, have also been granted by the State, explaining the figure of 160 billion reported by Bruno Le Maire.
The French economy “at 99% of its capacity”
The minister highlighted the good health of the French economy, which “is running at 99% of its capacity” and the resumption of consumption to justify the end of massive aid to companies. He said PGE applications fell from 500,000 in May, when all businesses were still eligible, to 50,000 in July. The minister said he believed that the economic upturn “will continue” because “consumption is well oriented”.
“During the week of August 16 to 22, we have + 12% on average consumption by credit card”, according to Bruno Le Maire, who added that the improvement also concerned sectors subject to the health pass such as restaurants, which are more than 8% over the same period. The minister acknowledged that the pass had a “temporary effect” in particular on cinemas, theme parks, zoos … “and then it recovered more or less quickly depending on the sector”, according to him.