The fourth (4th) Decision on the approval of funding applications under the Action has been published, Interest subsidy on existing loans to small and medium-sized enterprises affected by the measures to combat the pandemic of COVID-19 (B cycle) of the EPAnEK, concerning the approval of thirty-six (36) applications for funding, with a public expenditure of EUR 119.216,10.

Specifically, a) one (1) application is included in the Action after its evaluation by the Financial Institution and b) thirty-five (35) applications are approved after an Appeal against a rejection decision. In addition, Table 2 of this Decision includes 471 applications due to the correct recalculation of the total interest approval amount by the Financial Institutions responsible for the evaluation.

Budget for the Interest Rate Subsidy for SMEs

The Action's budget amounts to 64 million. euro and is funded as part of the Union's response to the COVID-19 pandemic.

Beneficiaries of the Action of

Small and medium enterprises, regardless of their legal form, operating legally in the country.

Investment Plans & Subsidy

The total amount of public funding that each business can receive (at the level of a "given business" as defined by European legislation and jurisprudence) from the specific Action, may not in total nominal value exceed the limit of 1,800,000 euros .

Basic Requirements for Participation in the Action

Businesses must satisfy, among others, the following conditions:

- To be active in any NACE code except those excluded in Appendix V of the Invitation. For businesses starting operations before 01/01/2020, the audit is based on the NACE code with the highest revenue. For companies starting operations within 2020, the control is based on the main NACE activity code.

- To show a decrease in the turnover of the year 2020 of at least 20% compared to the turnover of 2019.

The turnover of the year 2019 results from the E3 or the income statement of the same year. The turnover of the year 2020 is declared by the companies with the responsible declaration A of Annex VII and by filling in the corresponding field of the electronic financing application and is confirmed by the E3 or the statement of results for the year 2020 which the companies are obliged to present until 30.06.2022 . The declared amount includes all invoiced revenue even if the company falls under the "Special tax payment regime at the time of collection of the consideration - article 226.7.a. Directive 2006/112/EC - article 39.b VAT Code" and does not include:

a) income from rents that do not come from the normal business activity of the company
b) subsidies, grants, special purpose compensation and/or amounts paid by virtue of state participation in salary obligations

Operations' Circle

For businesses that started operations in 2019, the turnover of the year 2019 is compared to the turnover corresponding to an equal number of days in 2020 (total turnover of 2020 divided by 365 X number of days of operation in the year 2019). The reduction percentage that results rounded to the second decimal place. The participation condition of the first paragraph of this paragraph is presumed to be met in the case of businesses with the start of operations within the year 2020, as well as in the case of businesses that in the year 2019 they were in a construction period and proved to have no income from business activity of any kind during the above year. For the businesses they have administrative use from July 1 to June 30, the turnovers of the years 1.1.2019 - 31.12.2019 and 1.1.2020 - 31.12.2020 are declared and compared, as they result from the periodic VAT declarations of these periods".

Eligible expenditure for the Interest subsidy

The public funding for the Interest Rate Subsidy for SMEs covers the contractual interest as well as the proportional contribution of n. 128/75 of eligible business loans, and in particular regular business loans (as reflected in the relevant signed loan agreement), including syndicated loans and credit agreements (open mutual accounts), as well as:

(a) securitized loans and credits (Article 10 of Law 3156/2003),

(b) loans and credits that have been transferred due to sale (articles 1 - 3 of Law 4354/2015)

(c) loans whose management has been undertaken by a Special Liquidator in accordance with what is defined in the Detailed Call for Action.

You can find more information about the action here.