COMPANIES can now borrow up to £500,000 through the government’s new Gibraltar Business Loan Disruption Guarantee Scheme.
Money can be borrowed through The Royal Bank of Scotland Gibraltar, Trusted Novus Bank or Gibraltar International.
The scheme aims to provide support to businesses whose finances have been disrupted by the coronavirus pandemic, particularly small and medium-sized enterprises.
Businesses of this size are defined by the European Commission as having less than 250 employees and an annual turnover of up to €50 million.
Supermarkets, property development companies, the banking industry itself and other institutions whose income is funded 75% or more by the government are excluded from the scheme.
Additionally, businesses cannot use money from the scheme to refinance existing debt.
The scheme was started after Gordon Paterson, head of local banking at Natwest International, approached the government with the idea and set the planning wheels in motion
The scheme closely follows those implemented in the Channel Islands and Guernsey.
Those who wish to apply are required to prove that they have met all tax, social insurance and rates obligations.
Businesses are encouraged to contact local banks for more information on the application process.