Increased Support by the Principality for Hard Hit Sectors

Jean Castellini, Minister of Finance and the Economy, and Laurence Garino, Director of the Welcome Office, have recently presented to the press the additional support measures for companies most affected by the health crisis. The context is that even if the Monegasque economy has held up rather well, aid and support measures for sectors in difficulty need to be maintained and adapted. 

150 Million Euros Budgeted For Support 

Thus, the nearly 150 million euros, entered in the 2021 Budget, is available to help support economic entities for immediate aid and, in the long term, to support the recovery. 

New Measures 

Among the new measures, developed in consultation with the Conseil National during the CARE meeting on February 22,  for those who were beneficiaries in 2020, and who remain so in 2021:

Loss of Turnover and Rent Subsidy 

– the eligibility threshold for loss of turnover is reduced to 40%, instead of 50%, and the share of the monthly rent (excluding charges), taken into account in the calculation of the aid, is increased by 50 to 80%.

Monthly Special Allowances 

– for the targeted sectors (ice cream parlours, bars, snack bars, restaurants, tourism, events and sports halls ): the “special allowance” is increased to 2,500 euros, per month, for the first quarter of 2021;

– those who are eligible for the special allowance and whose file for the first quarter of 2021 has been updated with the Covid19 Business Unit, will receive payment of the allowance in question by mid-March, without making the request;

Grand Prix Preparations 

– for catering establishments, who will request it before March 12, 2021, and who must dismantle their terrace for the installation of the circuit and grandstands of the upcoming Grand Prix, additional financial assistance may be paid, exceptionally .

The amount of the subsidy will be calculated on presentation of the invoices for dismantling / storing / and reassembling the terraces, up to 50% of the expenditure made by the establishment, and within a limit of 15,000 euros.

State Guaranteed Loans 

Сoncerning loans guaranteed by the State: there will be an extension of the repayment period. State-guaranteed loans will see the maximum loan term increased to 84 months, including 24 months deferred, so as not to increase the annual financial burden on businesses.

Laurence Garino also mentioned the economic recovery and improving environment for commerce (in particular by improving the referencing of Monaco on international platforms), the diversification of commercial opportunities (Larvotto project, special measures with respect to rents ), and the Monaco Boost business incubator.

She also indicated the extension of government support to local businesses, via the CARLO app, beyond the end of March.