Italy Nears Decree on $216 Billion in Guarantees to Companies

Italy is finalizing new measures aimed at providing liquidity to companies, Treasury Minister Roberto Gualtieri said.

The government will guarantee loans of up to 800,000 euros at 100%, and will boost guarantees to 90% on another 200 billion euros ($216 billion) in loans, Gualtieri said in a televised comment on Rai TG1. Companies will be able to seek bank loans for as much as 25% of their revenue, and those new benefits could be combined with the other measures the government is studying to help Italian businesses.

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Prime Minister Giuseppe Conte is working on a new decree to further boost liquidity for businesses, while another package later this month will include emergency income for people trapped in the so-called underground economy.

The government is deploying at least 25 billion euros in new economic aid after an initial stimulus package approved in March for the same amount. The Italian daily La Stampasaid earlier Saturday that the liquidity decree will be approved by Monday.

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