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Germany plans to set up half-trillion euro corporate aid fund

Germany aid fund

The government plans to set up a 500 billion euro aid fund to support German companies facing difficulties in paying and reimbursement due to the current Coronavirus crisis, with the aim of helping companies by ensuring their obligations or pumping capital to help companies, German newspapers reported.

The design of the half-trillion euro corporate aid fund is similar to the 480 billion euro market stability fund, which aims to support banks during periods of financial crisis.

The German government has also said it is ready to activate the fund in case German banks face difficulties. Financial.

Germany's Ministry of Finance has also announced a study of programs aimed at providing direct support to companies worth 180 billion euros, with the potential to increase these programs to 700 billion euros.

This comes in light of the continuing negative impact of the Corona epidemic in Germany and around the world, and the number of infected people around the world has risen to exceed 244 thousand cases and deaths reached 10 thousand cases.

The euro weakened sharply during the week to record the lowest level against the dollar since April 2017 during Friday's trading at 1.0651 before the pair recovered a bit and is currently trading at 1.0728.

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