Monaco presents its economic recovery plan
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On June 30th, the Prince’s Government presented its plan to revive Monaco’s economy, which has been hit hard by the coronavirus epidemic.
It is based on four main areas, namely financial support, digital advancements in tomorrow’s economy, better ways to communicate the territory’s economic appeal and actively listening to all institutional and professional stakeholders.
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Strengthened provisions for total temporary layoff (CTTR)
For companies which resumed business from 4 May, there will be no changes to the State’s contribution to CTTR for June; support will be cut by 10% in July and a further 10% in August. For nightclubs which have not yet reopened the CTTR scheme will remain as is. “Specific provisions are in place for traders, restaurant owners and bars in Monaco-Ville that are experiencing serious difficulties – in these cases, there will be no reduction in the State’s contribution to CTTR and they will continue to receive 100% of the support available,” the Prince’s Government added.
Payment of social security contributions
From July, the State will cover half of the social security contributions (pension and health) for businesses with a 2019 turnover of less than €1 million, who are able to prove that their turnover was down by at least 20% in June, and which are not subsidised by the Principality. This could affect up to 620 companies in the tourism, events, culture and sports sectors, as well as certain other businesses.
Economic Recovery Support Commission (CARE)
Once a week, the CARE will look at the applications for aid to companies with a turnover of less than €5 million euros and which must present a projected balance sheet for the months of July to September. “State support will take the form of covering up to 50% of fixed costs and may also extend to expenditure directly linked to reviving the business. Support will be capped at €35,000,” he said.
Strengthening the Principality’s appeal
This will involve the introduction of the Monaco Safe certification, which aims to promote the public health recommendations in force on the Rock. It is designed to reassure clients and tourists regarding proper compliance with the health regulations in force in the Principality. Tourist and Convention Authority marketing campaign to promote the resumption of tourism.
Developing e-commerce
“The aim is to boost the virtual commercial space occupied by companies,” explains the Prince’s Government. The authorisation of Paypal in the Principality and a better referencing of Monaco in search engines are the two tenets of this plan.