Government measures in key jurisdictions 3rd edition final - Flipbook - Page 126
Thomas de Weerd | t.de.weerd@houthoff.com | +31 20 605 6361
Karim Abass | k.abass@houthoff.com | +31 20 605 6358
Loans and
financial
support
•
Has the
government put in
place any new
bank funding
schemes?
On April 8 2020, the Dutch government announced that it intends to reinsure supplier credits for
the remainder of 2020. This measure is mostly aimed at helping SME retailers and catering
establishments that make use of supplier credits and which need to provide a payment insurance
to the supplier via a credit insurer. It is estimated that the measure will cost around EUR 12 billion,
resulting into a loss of approximately EUR 1 billion for the Dutch government. The measure has yet
to be worked out in greater detail and approval of, amongst others, the European Commission is
required.
Taxpayers that export capital goods or services from the Netherlands can insure their transactions
through an export insurance. This insurance is provided by the Dutch government for transactions
which involve risks that cannot be insured by the capital market. The Dutch government has
extended the export credit insurance schemes until the end of 2020. Taxpayers may apply to
Atradius Dutch State Business for the insurance.
•
An SME Credit Guarantee Scheme is available for small and medium sized enterprises established
in the Netherlands that have substantial activities in the Netherlands (except for undertakings
active in agriculture, fisheries, public health care, insurance and finance, and real estate).
Under the regular scheme, the government guarantees loans to SMEs up to 50% of the loan
provided by the financier. The size of the maximum guarantee has been increased from 50% to
75% for loans with a maximum amount of EUR 266,667. For loans of more than EUR 266,667,
the guarantee is capped at 50%. In addition, the maximum loan for which the guarantee applies
has been increased from EUR 1 million to EUR 1.5 million. With effect from 28 April 2020, the
term of the credit is extended to four years. Furthermore, the scheme has become more
accessible due to the use of a turnover test instead of a comprehensive liquidity forecast. The
scheme can be used by companies for bridging loans or to increase their current account credit.
The premium for the Dutch government guarantee has been decreased from 3.9% to 2% for a
loan with a duration of 8 quarters. The premium for a loan with a duration between 9 and 16
quarters has been decreased to 3%. EUR 30 million has been made available for this measure.
The budget for this scheme has been increased from EUR 765 million to EUR 1.5 billion. The
eligible companies make an application to the accredited financier which is usually a bank. The
accredited financiers can submit an application to the Rijksdienst voor Ondernemend Nederland.
You can find the eligibility criteria and the list of accredited financiers here.
•
A scheme is available for SMEs and large companies that are established in the Netherlands
and have substantial activities in the Netherlands (except for undertakings active in
agriculture, fisheries, public health care, insurance and finance, and real estate) and have
satisfactory prospects regarding their internal rate of return and continuity. The Dutch
government helps companies by providing a guarantee on bank loans and bank guarantees.
Under the GO Scheme, the maximum amount of the guarantee to be provided by the Dutch
government to (i) large companies with a minimum turnover of EUR 50 million is 80% of the
related bank loan or bank guarantee; and (ii) SMEs with a maximum turnover of EUR 50
million is 90% of the related bank loan or bank guarantee, provided that the large company or
SME (as the case may be) has been affected by the Covid-19 outbreak.
Under the regular scheme, this applies to loans and guarantees from EUR 1.5 million up to a
maximum of EUR 50 million per undertaking. The Dutch government has increased the
maximum amount of any loan or guarantee under the GO Scheme to EUR 150 million per
undertaking with a maximum term of six years. The budget of the GO Scheme has been
increased from EUR 400 million to EUR 10 billion.
The eligible companies make an application to an accredited financier which is usually a bank.
The accredited financiers can submit an application to the Rijksdienst voor Ondernemend
Nederland. You can find the eligibility criteria and the list of accredited financiers via this link.
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Government measures in key jurisdictions