Rewritten version:
For companies with export and import volumes to the US exceeding 5% of their turnover or with indirect exposure
The Council of Ministers approved on Tuesday the launch of the first tranche of the credit line guarantees from the Official Credit Institute (ICO) worth 1,000 million euros for companies affected by the new tariff measures of the Trump Administration.
The credit line guarantees are endowed with a total of 5,000 million euros, as stipulated in the royal decree-law approved last week by the Council of Ministers. Through the agreement of the Council of Ministers on Tuesday, the first tranche of 1,000 million euros is activated, and the applicable conditions and requirements to access these funds are established.
Out of this first tranche of 1,000 million euros, around 750 million will be allocated to guarantee the liquidity of companies and another 250 million to guarantee new investment projects.
This measure is part of the ‘Recovery and Relaunch Plan’, aimed at establishing a safety net for companies and workers by activating all available mechanisms to support companies in sectors affected by US tariffs.
LOANS CAN BE REQUESTED UNTIL JUNE 30, 2026
This financing line, to be managed by the Official Credit Institute in collaboration with financial institutions, will be accessible to exporting and importing companies with significant direct or indirect exposure to the North American market.
Companies that export or import to the United States more than 5% of their total volume will be considered exposed.
Additionally, there are companies that, although not exporting directly to the US, may be impacted by the current situation. Therefore, companies indirectly exposed, either as significant suppliers to companies based in Spain in directly affected sectors or as part of global value chains, will also have access to the credit line.
According to the Ministry of Economy, the credit line is structured into two modalities based on the destination or purpose of the financing, each with its specific characteristics and requirements, and loans can be requested until June 30, 2026.
THE GUARANTEE CAN COVER UP TO 80% OF THE LOAN
The first modality aims to cover the short-term liquidity needs of affected companies. The guarantee can cover up to 80% of the loan granted by the financial institution, and the loan repayment term will be up to five years, with one year of grace period. Initially endowed with 750 million euros, this modality is expected to be the most demanded initially.
The second modality aims to guarantee loans for conversion or business transformation projects. It can finance up to 80% of the investment value and up to 100% of the working capital associated with the investment project.
In this modality, operations of less than one million euros will be granted by collaborating financial institutions, and those exceeding this amount will be granted in co-financing with the ICO. The guarantee coverage can be up to 80%, and the loan repayment term can be up to 10 years, with three years of grace period.
