Direct support to SME’s and targeted interventions on rents are needed
Statement by AKEL C.C. Spokesperson Stefanos Stefanou
AKEL C.C. Press Office, 26th May 2020, Nicosia
We don’t know what the government is planning to do with the measures to support the economy and small and medium size businesses (SME’s). From the beginning of the debate, we have argued that what the over-indebted SME’s need above all else is not loans, but direct support from the state.
It is also on AKEL’s insistence that the government had included in the bill a provision for state guarantees, €100 million for direct support to very small businesses. This provision was unfortunately withdrawn by the government along with the rest of the bill.
We hope that the measures being discussed by the government include direct support to SME’s, which must be increased, as AKEL, but also by the Parliamentary Finance Committee has requested.
The government must also ensure the effective tackling of the burning issue of rents.
The legislation approved by parliament last week is a step however that, as we have pointed out, is inadequate. For small and medium-sized businesses that have closed due to government decrees, and more specifically for those in tourist areas with clearly higher rents, the situation is dramatic. Targeted interventions by the state are needed and the responsibility lies with the government.
