(SGI) As the corona crisis sweeps across Germany, the government has assembled an aid package to support families, renters, employees, freelancers and companies. The cabinet, under the leadership of German chancellor Angela Merkel, agreed on Monday to several vast protective measures and far-reaching changes to the legal code. The Bundestag, Germany’s parliament, approved the package on Wednesday, with the Bundesrat, the German deliberative body representing the country’s 16 federal states, following on Friday. Massive amounts of money are being made available by the government. After taking on no new debt over the past six years, the country is abandoning its commitment to a balanced budget, with the cabinet approving €156 billion in new loans. Germany’s parliament enabled an emergency amendment to the country’s “debt brake” laws this Wednesday. Small companies and individual freelancers are to be eligible for up to €15,000 in direct subsidies over a period of three months. A total of €50 billion has been earmarked for the program. Larger companies are to be stabilized with capital from a stabilization fund. In cases of need, the state will also be allowed to become a stakeholder in companies. Plans call for up to €400 billion in credit guaranties. Up to €100 billion has been earmarked for direct investment in companies. In addition, an unlimited special credit program from the state-owned development bank, KfW, was launched on Monday. The bank has also earmarked €100 billion for liquidity assistance. An additional measure prevents landlords from evicting tenants who can no longer pay rent due to the corona crisis. Expanded regulations pertaining to Germany’s part-time work program – in which the government pays a share of employee salaries if they are temporarily unnecessary for production – will make it easer for companies to hold on to workers instead of laying them off. According to the German finance minister, Olaf Scholz, the entire package is worth some €750 billion.
