20,000 To Get $30M in Covid-19 Grants

By Sue-Ann Wayow

RELIEF measures for the second major lockdown period in May 2021 mirrors those provided by the State last year.

Finance Minister Colm Imbert at a Ministry of Finance press conference on Monday listed out the relief measures Government will continue to put in place to cushion those who have fallen economically.

The State will continue to provide salary relief grants for those who were National Insurance registered and income relief grants for those who do not.

He said, “We in the Ministry of Finance have agreed to find the necessary resources to give income support and salary relief grants for the month of May.

“In light of the restrictions that are enforced in the month of May, starting from the beginning of the month, we will provide an income support grant for people who are not in the formal system and a salary relief grant for people who are in the formal system, of the same amount as last year.

“Persons who lost their employment at the beginning of May due to restrictions put in at that time, we will provide a grant of $1,500 and for persons who lost employment just in the last couple days, we will provide a grant of $1,000 and that is just for the month of May.”

He said at least 20,000 may be eligible for such grants and therefore a projected cost for those grants was about $25million to $30million.

The Ministry of Agriculture on Monday, began an initiative of feeding families with fresh produce and locally processed chickens. Its aim was to feed 25,000 families in all 41 constituencies with an average of 600 per constituency Imbert said. These food baskets may be supplemented with food cards Imbert said.

Small and medium enterprise loans, interest free with  a moratorium of two years and payment of principle only were also available. However, there are certain minimum requirements to get a loan such as up to date financials, tax clearance, Value Added Tax (VAT) clearance.

Imbert said, “Regrettably, the vast majority of applicants were unable to satisfy these requirements.”

“The Government and small business have to work together to get their house in order. It is unacceptable that businesses are operating without financials. We in Finance are going to work with the banks since we still have  a positive balance for loans for small and medium enterprises. ”

There was $229million still available, Imbert said.

Following is a breakdown of relief provided through the Ministry of Social Development and Family Services as at last month provided by Imbert:

• Just over 25,000 grants were given to existing beneficiaries for additional food support at a cost of $17.1 million
• 51, 493 food and income support grants given to individuals who were retrenched or incomes reduced, at a cost of $221.3million.
• 20,497 grants  given to households who would have benefitted from the school feeding programme valued at $31.3million
• 42,451 grants costing $22.5 million given to recipients of disability and social welfare grants. Additionally, a further 3300 grants totallling $14million were given to those on the disability assistance programme or persons who recently applied for their senior citizens pension but who did not yet receive it.
• 1,400 emergency hampers were provided to families in urgent need.
• 25,000 food vouchers and market boxes  given out.
• 4,322 regular grants were provided to families who were retrenched or income reduced valued at $22million together with the food vouchers and market boxes at a total cost of $29million.
• $30million provided to religious bodies to provide food support to those in need and some 50,000 persons benefitted.

Such grants totalled $354million.

From the Ministry of Finance, 85, 447 grant payments were made at a cost of $140million.There are still 7,000 persons eligible  for the Salary Relief Grants but do not have bank accounts Imbert stated.

The Ministry of Works and Transport also assisted maxi operators with a one-off fuel grant of $2,000 and other were also available to taxi drivers.

The Ministry of Tourism, Culture and the Arts reported that almost 1,000 Culture Relief Grants valued at $5,000 each were distributed.

And in terms of business support, accelerated tax refunds were paid to over 25,000 individuals last year clearing off all outstanding individual tax refunds at the time at a cost of $250million Imbert said.  VAT refunds to smaller businesses, 5,011 VAT refunds were paid out at a cost of $460million and VAT bonds at a total value of $3billion.

The Finance Minister said the total value spent on tax refunds  in 2020 and to date was $3.7billion.