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01 May 2020 / article

FAQ - Go-arrangement (Garantie ondernemingsfinanciering) COVID-19

The Dutch government has taken emergency measures to support Dutch businesses dealing with the effects of COVID-19, including an amendment to its so-called "Go-arrangement", a scheme of guarantees to banks and insurers that grant new credit lines to small and medium-sized enterprises (SMEs)1 and large companies. The original Go-arrangement (implemented by the Dutch government in 2009) (Go) and COVID-19 go-arrangement (Go-C) shall coexist. In this Q&A we focus on Go-C.

The total guarantee limit of Go and Go-C combined has been increased from EUR 400 million to EUR 10 billion. The maximum guaranteed amount per borrower group under Go-C is EUR 150 million, compared to EUR 50 million under Go (both with a minimal amount of EUR 1.5 million per company). The guaranteed percentage by the Dutch State of the credit lines under Go-C is 80 per cent. for large businesses and to 90 per cent. for SMEs, compared to 50 per cent. under Go. In light of COVID-19 we discussed the possibilities under Go-C with several clients. The below reflects frequently asked questions re Go-C by both lenders and borrowers. The answers are based on Sections 3.13 and 3.13b Regeling nationale EZK- en LNV-subsidies (the Regulation) and Annexes, as amended on 28 April 2020.

 

1 SME for these purposes is maximum 250 employees, maximum annual turnover of EUR 50 million and maximum annual balance sheet total of EUR 43 million.

Q&A Lenders
Q&A Borrowers


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