Support Measures for Businesses Affected by Typhoon No. 18
Overview
Following the application of the Disaster Relief Act to Tokunoshima Town, Oshima District, Kagoshima Prefecture, in connection with the disaster caused by Typhoon No. 18 in Reiwa 8, the Ministry of Economy, Trade and Industry will provide support measures for affected small and medium-sized enterprises and small businesses, including consultation services, disaster recovery loans, Safety-Net Guarantee No. 4, and changes to repayment terms on existing debt. Disaster-related loans will also be available to Small Enterprise Mutual Aid contract holders.
Key points
- The Ministry of Economy, Trade and Industry will provide five support measures for businesses affected in Tokunoshima Town.
- Safety-Net Guarantee No. 4 guarantees 100% of the loan amount.
- Disaster recovery loans and Small Enterprise Mutual Aid disaster-related loans will be provided.
Overview
In response to the application of the Disaster Relief Act to Tokunoshima Town, Oshima District, Kagoshima Prefecture, following the disaster caused by Typhoon No. 18 in Reiwa 8, the Ministry of Economy, Trade and Industry will provide support to affected small and medium-sized enterprises and small businesses.
Details
Special consultation services will be established in Kagoshima Prefecture by the Japan Finance Corporation, the Shoko Chukin Bank, the credit guarantee association, chambers of commerce, the Kagoshima Federation of Societies of Commerce and Industry, the National Federation of Small Business Associations, Yorozu Support Center, the National Federation of Shopping Center Promotion Associations, the Kyushu Headquarters of the Organization for Small & Medium Enterprises and Regional Innovation, and the Kyushu Bureau of Economy, Trade and Industry.
The Japan Finance Corporation and the Shoko Chukin Bank in Kagoshima Prefecture will provide disaster recovery loans and other financing to small and medium-sized enterprises and small businesses affected by heavy rain, lending working capital or funds for equipment.
Safety-Net Guarantee No. 4 will apply to small and medium-sized enterprises and small businesses in Tokunoshima Town whose sales and other revenues have declined due to heavy rain; the credit guarantee association will provide guarantees up to a limit separate from the standard guarantee. The designated area is scheduled to be announced in the Official Gazette soon, and the credit guarantee association will begin consultations in advance.
The Japan Finance Corporation, the Shoko Chukin Bank, and credit guarantee associations will be asked to accommodate affected businesses according to their circumstances by changing terms on existing debt, including deferring repayments, expediting lending procedures, and applying flexibility in requiring collateral.
Small Enterprise Mutual Aid contract holders affected in Tokunoshima Town will be eligible for disaster-related loans from the Organization for Small & Medium Enterprises and Regional Innovation, in principle on the same day and at low interest rates.