Corona crisis relief: EKF to guarantee liquidity for even more large businesses disrupted by the crisis
As part of the Danish government's business relief packages, EKF is now able to guarantee loans for even more large businesses. The guarantees will pave the way for new loans totalling up to DKK 7.1 billion..
With the escalation of the coronavirus pandemic into a global trade crisis, Danish exporters are now also under intense pressure. Danish companies reliant on selling their products and services abroad risk disruption on a scale that threatens the job security of their employees and their ultimate survival as a going concern.
EKF is now able to offer yet another assistance scheme in the form of an enlarged guarantee scheme for large corporates. The guarantee scheme has just come into effect and is aimed at businesses who do not come under the EU definition of SMEs.
With the enlarged guarantee scheme, part of the Danish government's business-disruption relief measures, EKF now has a total of DKK 7.1 billion to guarantee bank loans to large businesses. EKF covers up to 70 percent of any loss incurred by banks on new loans granted to provide liquidity for Danish exporters. This will give the banks added incentive for increasing their risk appetite, enabling them to provide the needed liquidity that can make all the difference for many large businesses during the crisis.
“We are ready to use all the means at our disposal for supporting Danish exporters. Crisis or no crisis, we have always had the capacity to guarantee bank loans made to large businesses, but with the new raised guarantee capacity approved by the Danish government, EKF's capability has been boosted, allowing us to assist even more large businesses to make it through the crisis”, explained EKF's CEO Kirstine Damkjær.
Eligibility criteria for EKF's Liquidity Guarantee for Large Corporates
How to access the scheme as a business
If you have suffered or expect to suffer loss of revenue as a result of the corona crisis, contact your bank to request liquidity covered by an EKF guarantee to tide you over during the crisis. It is your bank that has to apply to EKF for the guarantee. You are also welcome to call EKF to discuss your options before approaching your bank.
How to access the scheme as a corporate banking advisor
As a corporate banking advisor, you apply for the guarantee by the same channels you usually use when applying for an EKF Working Capital Guarantee. If in doubt, please contact EKF.