The Board of Directors of the Central Bank of the Argentine Republic (BCRA) approved the implementation of Subsidized Rate Loans for Companies, within the framework of Decree 332/2020 that established the Emergency Assistance Program for Work and Production.
The entities of the financial system must grant this line to all companies that request it, provided that they are included in the list of beneficiaries announced by the Federal Administration of Public Revenues (AFIP).
The funds must be credited to the workers’ salary accounts within a period of up to 5 business days from the time the request is received.
The interest rate will be determined based on the year-on-year variation in the company’s turnover in relation to the same period of the previous year:
| Positive year-on-year nominal variation in turnover |
Interest rate – Annual nominal – |
|---|---|
| 0% to 10% | 0% |
| more than 10% to 20% | 7.5% |
| more than 20% to 30% | 15% |
The financing will have a grace period of 3 months from its accreditation and will be repaid from the fourth month in 12 equal and consecutive monthly installments.
The loans will have a FOGAR guarantee and FONDEP will subsidize the difference in rate between the rate paid by the company and the maximum of 15% nominal per annum.
In addition, the Board of Directors of the BCRA approved the Zero Rate Culture Credit line, also provided for in Decree No. 332/2020. The AFIP will announce the list of eligible beneficiaries, the amount and the entity in which it must be processed.
This financing will be credited to the applicant’s credit card in three equal and consecutive monthly installments. In each of these credits, the amount equivalent to the payment of taxes and mandatory contributions will be added, which will be withheld and deposited by the financial institution in the AFIP.
The financing will have an annual nominal interest rate of 0%, will have a grace period of 12 months from its first accreditation and will be repaid from the thirteenth month in 12 monthly installments, equal and consecutive.
