the vice president Nadia Calvino and his team are working in this final stretch of the year to complete the list of investment initiatives that will go, together with the reforms committed to Brussels, to the addendum to the Recovery, Transformation and Resilience Plan (PRTR). At stake is the option to request up to 84,000 million in soft loans, in addition to the 7,700 million of the extra allocation of non-refundable transfers. The conversations between different ministries and business groups are generating very high expectations about financial conditions that are absolutely out of the market for loans.
Without any official information having yet been disclosed, “grace periods of 10 to 15 years and interest close to 0% are expected,” commented government sources involved in the contacts. Calviño has scheduled an appearance in the Mixed Commission for the EU of the Congress of Deputies this Thursday to detail the aforementioned addendum to the Recovery Plan.
Economy will try to mobilize the 84,000 million euros in loans from the Next Generation plan
The intention of Economy, the same sources point out, is to mobilize 100% of the 84,000 million in credits offered to Spain. Especially in current market conditions. It is an announcement that big businessmen already take for granted. Employers see as their destination the reinforcement of strategic projects (PERTE) underway with a financing deficit.
The economic uncertainty generated by the pandemic, the Russian invasion of Ukraine and the consequent runaway inflation, made the Government choose first to exhaust the Next Generation Plan subsidy item, with almost 77,000 million of the 160,000 assigned to Spain, giving margin to go now to a second phase for funds that have to be repaid.
In the Ministry of Economic Affairs, progress is being made in the configuration of debt instruments, and in business groups, both loans and guarantees are being considered. The Executive has opened a channel of dialogue with the commercial banks in search of lowering part of the credits to the field of play, specifically those linked to environmental sustainability projects. Public participation in the capital of initiatives to distribute this second wave of liquidity from the EU would also have been considered.
Calviño will appear in Congress on Thursday to anticipate details of the addendum
A senior official with influence in La Moncloa explains that the problem of adding a greater burden to the indebtedness of the Autonomous Communities makes loans a more suitable vehicle for private initiative or, in any case, for public-private collaboration. For the regional Administration, which has been the recipient of non-reimbursable subsidies, the creation of a fund for strategic investments that covers housing or social infrastructure policies has been considered.
The CCAAs exceed 20,000 million in subsidies
Grant allocation begins to pick up speed. According to the latest data from the Recovery Plan managed by the Presidency of the Government, as of November 30, the autonomous communities had already exceeded the threshold of 20,000 million euros allocated. Andalusia leads the endowments, with 3,235 million at its disposal, closely followed by Catalonia (2,903) and then Madrid (2,190) and Valencia (1,940).
as anticipated Five days, the real problem is being the actual execution of the subsidies. At the end of November and according to data from CEOE, this percentage barely reached 11.5% of the total aid. Specifically, 8,000 of the 69,500 million budgeted for Spain within the Next Generation instrument. The improvement in the rate of delivery of funds to the autonomies is relevant, as the pressure on regional governments increases to speed up the tenders and their resolution, the only way for the money to leak into the real economy.
Andalusia leads the receipt of subsidies, followed by Catalonia and Madrid
Sources from the Presidency point out that, at the territorial level, there are already calls launched for the Perte (strategic projects for recovery and economic transformation) worth 9,372 million euros and all the communities already have a company or a research center involved in the development of these programs, in many cases with calls already resolved. The Government has the declared intention of promoting monthly calls for a value of 2,000 million euros.
The process has faced numerous bottlenecks, motivated to a large extent by the difficulty that administrations find when it comes to managing such large budget amounts, hitherto unprecedented. Also due to excessive bureaucracy in the procedures and requirements for SMEs, for example in terms of guarantees, according to the companies themselves.