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Saxon companies must repay Corona aid

Many companies have to repay parts of the Corona emergency aid from the federal government. In Saxony, there is an additional burden.

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Man sieht das Logo der SAB.
The Sächsische Aufbaubank reviews the use of Corona emergency aid and arranges any repayments. © Jürgen Lösel

By Niels Heudtlaß

Dresden. Saxon companies have already repaid 108 million euros of the emergency Corona aid received from the federal government in 2020. The sum is calculated from the repayments of 15,000 companies from the Free State. In total, Saxon companies in need during the pandemic received around 562 million euros in emergency aid from federal funds.

But why does the money from the "Corona emergency aid program" have to be repaid at all? For many of those affected, it turned out that sales during the pandemic had not slumped as much as expected, reports Volker Stößel, spokesman for the Saxon Development Bank (SAB), which is responsible for reviewing and repaying emergency aid in the Free State.

However, that is not the only reason, says Lars Fiehler, spokesman for the Dresden Chamber of Industry and Commerce (IHK). "Many who applied for federal Corona assistance assumed they would be allowed to use the money to make a living." Among them, for example, were self-employed people from the catering industry who paid themselves a salary with the help of the grants. Only later, under pressure from the federal government at the time, did the states clarify that the subsidy was intended only for operating expenses, the IHK spokesman said. These funds, which were not used in accordance with the rules, are now also being reclaimed.

The SAB is now reviewing all Corona emergency aid paid out to companies. Those who have received too much will be notified. This process has only just begun in Saxony, says Stößel. As a result, it is impossible to predict what claims will still come to Saxon companies that have not yet repaid anything. However, companies and solo self-employed workers who may have received more aid than they need would have the opportunity to arrange for repayment themselves, Stößel says. There is a calculation aid for this on the SAB homepage.

Saxony's special path

Repayment of the federal government's Corona emergency aid is not the only demand being made of Saxony's companies. Almost all other German states offered their own grant programs during the pandemic. In Saxony, on the other hand, companies could apply for an interest-free loan of up to 100,000 euros. A special path criticized by Saxon chambers and associations at the time.

For applications dating from September or October 2020, which according to IHK spokesman Fiehler affects most companies, the three-year repayment-free period now expires. Companies that repay their loans on time and in full will receive a ten percent discount after an audit. As of Thursday, a total of "repayments from redemption and unscheduled repayments for the Corona loan amounting to a good 153.7 million euros have already been recorded," as the SAB reported in response to an inquiry from Sächsische.de. The Free State of Saxony lent around 752 million euros to companies in distress under the loan.

Thus, some Saxon companies are now facing a double burden. "Critical constellations in individual cases are certainly not ruled out," says Fiehler, assessing the situation. Currently, borrowers have the option of applying for a deferral for six months. How to proceed with companies that are not able to repay their loans is currently being discussed together with the Ministry of Economics, the SAB informs. A final decision has not yet been made.

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