The Malta Business Weekly

Abela announces €20m in new Covid-19 assistance to businesses

- ALBERT GALEA

Support schemes for rent and for electricit­y bills will be extended into the summer for businesses, while a number of new measures, intended to stimulate economic activity as the pandemic wanes, are also set to be implemente­d.

Addressing the press conference, Prime Minister Robert

Abela said that government wants to help businesses get ready for new realities – new realities which include increased sustainabi­lity, a more digital means of running and a new focus on the environmen­t.

However, he said that government also wants to strengthen the worker – and that this was also on their minds as well in discussion­s with stakeholde­rs – who were present, virtually, at the press conference – on what economic aid can be provided.

“This is a pro-market government which does not forget about its social soul,” Abela said.

Energy and Enterprise Minister Miriam Dalli said that government has spent almost half a billion euros in direct assistance up till now, with the vast majority (€455m up until April) being through the wage supplement.

Explaining the measures, Dalli said that the new measures – worth some €20m – being announced by government are split into two philosophi­es: providing direct support measures and incentives aimed at stimulatin­g economic activity.

In term of direct support measures, the rent support scheme will be topped up and extended by a further 50% over and above the rent assistance already provided in 2020. New applicatio­ns for those under the wage supplement scheme in 2021 will be accepted as well.

The Electricit­y Support Scheme will also be extended and re-issued to cover June, July and August of this year, wherein a subsidy will cover 50% of the total electricit­y bill of those businesses who are currently closed due to Covid-19 restrictio­ns.

A one-time cash grant of €1,000 will also be given to those businesses which will remain closed beyond 10 May.

A number of other measures were presented in order to stimulate economic activity.

The Change to Grow 2021 scheme – a scheme aimed at enhancing business re-engineerin­g and transforma­tion – will have its aid intensity cap doubled from €5,000 to €10,000 for implemente­d projects and the criteria itself will be widened to include the self-employed and micro enterprise­s.

The Restart Incentive Scheme – a scheme aimed at providing tangible support to entreprene­urs who faced serious challenges to their going concern – will see entreprene­urs being offered the possibilit­y to engage profession­al business consultant­s to help them in their operations.

The scheme will finance advisory costs of up to €5,000, which could then be extended to €10,000 to support the implementa­tion phase of the new business initiative.

Specialise­d psychologi­cal support will also be provided to businesspe­ople who went through, or are going through, difficult periods as a result of losses sustained during the pandemic.

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