Emergency Measures: 500 Million DH in Credits to Businesses, 50% Guaranteed by CCG
8 October 2009
Read by 1343 persons
323 businesses received support for commercial promotion. 402 applications approved for CNSS contribution exemption, and 155 MDH already reimbursed.
98 businesses approved for operating credit guarantees.
After an initial phase marked by a more defensive attitude, Moroccan businesses now seem to want to react to the crisis by seeking new customers and markets. This is at least what can be deduced from the latest statistics concerning businesses that have benefited from emergency measures, as communicated to us by the Ministry of Industry and Trade. Indeed, if during the first three months of the plan's deployment, most of the applications submitted concerned financial (state-guaranteed loans) and social (CNSS contribution exemption) measures, it seems that, since then, more and more businesses have moved to the next stage, opting for measures supporting promotion and export support.
For the commercial aspect, 27 textile companies, 8 from the leather sector, and one from the automotive sector benefited from reimbursements under the "support for market diversification efforts", one of the three axes of this commercial promotion aspect, which also includes improving export risk coverage and supporting Maroc export. The amount of reimbursements totals 1.5 MDH out of the 14 million representing eligibility requests.
For textile manufacturers, who confirm the importance of the support system in place, the effects of promotional actions carried out in several European countries are tangible. As an illustration, they highlight the satisfactory evolution of exports to the Italian and German markets. These manufacturers specify, in the process, that demand will be higher in 2010, since the sector's strategic plan emphasizes new markets, particularly the American market. This same sector also showed much higher demand for export risk coverage granted by the Moroccan Export Insurance Company (Smaex). Out of 89 exporters who benefited from this measure, more than 70% operate in it. The amounts committed total 1.7 MDH. To highlight the interest shown by businesses in the commercial aspect, the ministry reveals that 145 businesses benefited from Maroc export support. It is indicated that the amount corresponding to the coverage of 80% of expenses is being processed. Overall, 323 businesses benefited from this aspect. The amount committed, excluding Maroc export support, is around 3.2 MDH.
99 applications approved for the training aspect
For training, the second aspect of the system, 99 applications were approved, including 79 from textile units, 5 from the leather sector, and 15 from the automotive sector. It should be noted that the only application from the electronics sector was rejected. However, the ministry emphasizes that only 23 textile companies and 2 leather companies requested funding for their training program.
On the other hand, the ministry's report confirms that the biggest concern for businesses is still job security, since 402 units benefited from social measures, namely the coverage of the entire employer's share of social security contributions for six months. Of these 402 businesses, 332 are from the textile sector, which, it should be noted, had recorded a loss of 10,000 jobs at the beginning of 2009. "Job security is strategic for businesses in the sector, as we train our workers over several years, and their loss is a huge problem for the units. For this reason, we are focusing all our efforts on maintaining staffing levels through the measures put in place so that we can be reactive in the event of a business recovery," explains a clothing manufacturer. By the end of August, 315 businesses had been reimbursed for a total amount of 155 MDH.
Finally, the latest statistics communicated by Ahmed Chami's department show that 98 businesses benefited from the financing system (operating credit guarantee and 2009 annuity guarantee on medium- and long-term loans), which constitutes the fourth aspect. The number of businesses whose applications have been approved is 98, including only one for the guarantee of a medium- and long-term loan, for a total amount of 487 MDH, of which 247 million are guaranteed by the Central Guarantee Fund (CCG). At the ministry, it is noted that the measure concerning moratoriums is little used since few businesses in the textile sector, in particular, have MLTs.
Focus: Eligible for aid
The support plan, whose implementation began in February 2009, includes four aspects. The first three (social, financing, and training) are open to the textile, leather, automotive, and electrical sectors. A total of 980 businesses were declared eligible for aid, including 761 in textiles, 118 in leather, 65 in the automotive sector, and 36 in electronics. The social aspect consists of covering 100% of the employer's share of social security contributions. The financing aspect includes the guarantee of operating loans and the 2009 annuity guarantee on medium- and long-term loans. For training, the aid covers the entire cost of training. Naturally, with 761 eligible businesses, the textile sector makes up the majority of support requests at all levels. This also applies to the commercial aspect, including support for market diversification efforts, improved export risk coverage by Smaex, and support from Maroc export. For this aspect, 942 businesses are potentially eligible, including 761 from the textile sector, 118 from the leather sector, and 63 from the electronics sector.
Aziza Belouas
Published on October 5, 2009
Posted online on October 8, 2009
lavieeco.com
98 businesses approved for operating credit guarantees.
After an initial phase marked by a more defensive attitude, Moroccan businesses now seem to want to react to the crisis by seeking new customers and markets. This is at least what can be deduced from the latest statistics concerning businesses that have benefited from emergency measures, as communicated to us by the Ministry of Industry and Trade. Indeed, if during the first three months of the plan's deployment, most of the applications submitted concerned financial (state-guaranteed loans) and social (CNSS contribution exemption) measures, it seems that, since then, more and more businesses have moved to the next stage, opting for measures supporting promotion and export support.
For the commercial aspect, 27 textile companies, 8 from the leather sector, and one from the automotive sector benefited from reimbursements under the "support for market diversification efforts", one of the three axes of this commercial promotion aspect, which also includes improving export risk coverage and supporting Maroc export. The amount of reimbursements totals 1.5 MDH out of the 14 million representing eligibility requests.
For textile manufacturers, who confirm the importance of the support system in place, the effects of promotional actions carried out in several European countries are tangible. As an illustration, they highlight the satisfactory evolution of exports to the Italian and German markets. These manufacturers specify, in the process, that demand will be higher in 2010, since the sector's strategic plan emphasizes new markets, particularly the American market. This same sector also showed much higher demand for export risk coverage granted by the Moroccan Export Insurance Company (Smaex). Out of 89 exporters who benefited from this measure, more than 70% operate in it. The amounts committed total 1.7 MDH. To highlight the interest shown by businesses in the commercial aspect, the ministry reveals that 145 businesses benefited from Maroc export support. It is indicated that the amount corresponding to the coverage of 80% of expenses is being processed. Overall, 323 businesses benefited from this aspect. The amount committed, excluding Maroc export support, is around 3.2 MDH.
99 applications approved for the training aspect
For training, the second aspect of the system, 99 applications were approved, including 79 from textile units, 5 from the leather sector, and 15 from the automotive sector. It should be noted that the only application from the electronics sector was rejected. However, the ministry emphasizes that only 23 textile companies and 2 leather companies requested funding for their training program.
On the other hand, the ministry's report confirms that the biggest concern for businesses is still job security, since 402 units benefited from social measures, namely the coverage of the entire employer's share of social security contributions for six months. Of these 402 businesses, 332 are from the textile sector, which, it should be noted, had recorded a loss of 10,000 jobs at the beginning of 2009. "Job security is strategic for businesses in the sector, as we train our workers over several years, and their loss is a huge problem for the units. For this reason, we are focusing all our efforts on maintaining staffing levels through the measures put in place so that we can be reactive in the event of a business recovery," explains a clothing manufacturer. By the end of August, 315 businesses had been reimbursed for a total amount of 155 MDH.
Finally, the latest statistics communicated by Ahmed Chami's department show that 98 businesses benefited from the financing system (operating credit guarantee and 2009 annuity guarantee on medium- and long-term loans), which constitutes the fourth aspect. The number of businesses whose applications have been approved is 98, including only one for the guarantee of a medium- and long-term loan, for a total amount of 487 MDH, of which 247 million are guaranteed by the Central Guarantee Fund (CCG). At the ministry, it is noted that the measure concerning moratoriums is little used since few businesses in the textile sector, in particular, have MLTs.
Focus: Eligible for aid
The support plan, whose implementation began in February 2009, includes four aspects. The first three (social, financing, and training) are open to the textile, leather, automotive, and electrical sectors. A total of 980 businesses were declared eligible for aid, including 761 in textiles, 118 in leather, 65 in the automotive sector, and 36 in electronics. The social aspect consists of covering 100% of the employer's share of social security contributions. The financing aspect includes the guarantee of operating loans and the 2009 annuity guarantee on medium- and long-term loans. For training, the aid covers the entire cost of training. Naturally, with 761 eligible businesses, the textile sector makes up the majority of support requests at all levels. This also applies to the commercial aspect, including support for market diversification efforts, improved export risk coverage by Smaex, and support from Maroc export. For this aspect, 942 businesses are potentially eligible, including 761 from the textile sector, 118 from the leather sector, and 63 from the electronics sector.
Aziza Belouas
Published on October 5, 2009
Posted online on October 8, 2009
lavieeco.com
