New €2 billion Credit Guarantee Scheme largest in the history of the State

Jul 20, 2020

A new €2 billion COVID-19 Credit Guarantee Scheme has been announced on 14 July, which will make low cost loans available to businesses impacted by the pandemic, providing much needed liquidity as the Irish economy continues to reopen. This Scheme will be the largest credit guarantee scheme for businesses in the history of the State. It will ensure that SMEs, primary producers and small Mid-Caps can access liquidity to keep their businesses operating, as the economy continues to reopen and more people get back to work. It will be available for a wide range of products including overdrafts, term loans and working capital.

The Government has agreed to publish the Credit Guarantee (Amendment) Bill 2020, which will underpin the scheme and will also remove the portfolio cap, which will result in an increased potential maximum liability for the State of €1.6 billion. This bill is due to go through the Oireachtas next week.