Andorra has approved a new concessional loan repayment plan for companies affected by the SARS-CoV-2 health emergency.
The first line of credit was opened in April 2020, the second – in May 2020.
The 2020 soft loan originally had a maturity of 12 months with automatic renewal for another six months.
The new government decree provides for automatic extension of loans for another six months. This applies to loans maturing on December 31, 2021.
In addition, Andorran companies have the option to extend this loan for seven years. It will continue to be fully guaranteed by the Government of Andorra. Thus, the Government will continue to pay interest on the loan for the first two years, and starting from the second year, the borrowing company will have to pay the corresponding interest.