France to offer looted shops zero-interest loans up to 50,000 euros
Shops damaged or looted in France on October 17 and 18 would be able to apply for zero-interest loans of up to 50,000 euros from Friday, Economy Minister Roland Lescure said Tuesday, according to franceinfo and L'Express Franchise. Bpifrance would run the loans. A separate fund would help firms with fewer than 50 employees.
Shops damaged or looted in France on October 17 and 18 would be able to apply for zero-interest loans of up to 50,000 euros from Friday, October 23, Economy Minister Roland Lescure said Tuesday, according to franceinfo and L'Express Franchise. He spoke after what franceinfo called an "exceptional business council" at the economy ministry in Bercy.
The loans would be offered by Bpifrance and repaid over three years, L'Express Franchise reported, citing the ministry's statement. Owners would only need to have filed a claim with their insurer to qualify, Lescure said, according to franceinfo. The ministry said the money is meant to help shops rebuild stock and meet their most immediate payments. Lescure said it could also pay for repairs, L'Express Franchise reported.
Commerce Minister Serge Papin said a dedicated support fund would cover businesses with fewer than 50 employees, franceinfo reported. Firms that suffered major damage and lost business would get a flat payment based on a share of their revenue, with a cap per company, L'Express Franchise reported. The ministry has not yet given the fund's rate or its caps, according to L'Express Franchise.
Workers who cannot work because their shop is closed receive 60% of their gross pay, or 100% for minimum-wage workers, under a partial unemployment scheme open now to all affected companies, L'Express Franchise reported. For companies with fewer than 250 employees, the state pays the whole allowance, it reported. Labor Minister Jean-Pierre Farandou estimated that 10,000 to 15,000 jobs are affected, according to L'Express Franchise. TF1 Info reported that the state would cover partial unemployment for three months.
Businesses can also put off paying employer social charges for the next three months by up to 12 months, and insurers have extended the deadline to report a claim to 30 days, L'Express Franchise reported. Two insurers that the ministry's statement did not name are waiving deductibles, according to L'Express Franchise.
Papin said at least 3,000 shops were damaged or looted on the weekend of the protests, nearly 700 of them in Marseille, L'Express Franchise reported. That is double the first tally given Sunday by the retail federation FCD, according to L'Express Franchise. The government first announced support measures on Monday, TF1 Info reported. The Lyon metropolitan authority is releasing 10 million euros, and the Provence-Alpes-Côte d'Azur region revived a 5 million euro fund for looted shops, TF1 Info reported.
What we know: Looted shops would be able to apply from Friday for Bpifrance zero-interest loans of up to 50,000 euros, and partial unemployment is open now to affected companies.
What we don't: The total size of the fund for small businesses, its payment rate and its per-company caps.
Where outlets agree franceinfo and L'Express Franchise report that Lescure said damaged shops would be able to get zero-interest loans of up to 50,000 euros from Friday.
Where they differ TF1 Info reports that the state will cover partial unemployment in full for three months, while L'Express Franchise reports that the full cover applies to companies with fewer than 250 employees and gives no time limit.