Government measures in key jurisdictions 4th edition - Flipbook - Page 134
The Netherlands
Thomas de Weerd | t.de.weerd@houthoff.com | +31 20 605 6361
Karim Abass | k.abass@houthoff.com | +31 20 605 6358
Contributor: Houthoff
Loans and
financial
support
•
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.
•
On 28 August 2020, the Dutch government announced that the scheme will continue until 1 April
2021.
•
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.
Has the
government put in
place any new
bank funding
schemes?
Government measures in key jurisdictions
134