Covid loan scheme seen as win-win for businesses and Govt

Author
Newstalk ZB,
Publish Date
Wed, 15 Sep 2021, 8:27AM
Home loan rates have fallen to record lows this year.
Home loan rates have fallen to record lows this year.

Covid loan scheme seen as win-win for businesses and Govt

Author
Newstalk ZB,
Publish Date
Wed, 15 Sep 2021, 8:27AM

The idea of a student loan-type scheme is expected to be a win-win for businesses and the Government. 

Treasury's being asked to introduce it to help companies get through the economic impact of Covid-19. 

The idea's come from Cognitus Economic Insight principal economist, Richard Meade. 

He told Kate Hawkesby the Government would have about 14 percent less debt, if the scheme was put in place. 

"But the level of support offered is about two and a half times higher than wage subsidies, because you're ensuring businesses revenue lines, not just one of the cost lines."

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