You may wish to note that BOV together with the MDB has launched the BOV-MDB COVID Assist scheme (BMCA). The purpose of this scheme is that of assisting large and SME companies that are facing unprecedented disruptions because of COVID-19. The scheme will help employers meet working capital requirements, aiding them with the following costs:
- Salaries of employees, including social and health security payments
- Lease of establishment, including rental costs, energy and water bills, fuel etc
- Unpaid invoices due to a decrease in business revenues in respect of working capital and other similar commitments and in respect of investment expenditures provided that investment expenditures only qualify under the Scheme if they were contracted for prior to the approval of this Scheme by the Commission
- Acquisition of material and stock for continuation of business
- Expenses directly related to contracts which were cancelled or postponed because of the COVID-19 outbreak, excluding penalties and other liabilities incurred due to non-performance of contracts
- Maintenance costs
The BOV-MDB COVID Assist is designed provide the much-needed breathing space for businesses by ensuring that credit keeps flowing to where it is needed. The scheme provides:
- A maximum loan of €4m to SMEs and of €8m to large enterprises
- Repayment terms to range between 18 and 72 months
- Inclusive moratorium period of 6 months which can be extended to 12 months depending on the particular circumstances of the business
- All inclusive interest rates starting from a fixed rate of 2.5% for the first two years at no additional fees and charges
- BOV is in discussion with MDB on how business customers will be refunded with the two-year interest rebate, recently announced by the government.
The scheme is available under 31 December 2020.
If you are interest to avail yourself of the BOV-MDB COVID Assist you can send an email to smefinance@bov.com, or if you are a BOV customer to your Relationship Manager, Business Centre or Corporate Centre. Contact details can be found at this link https://bov.com/content/assist.