COPENHAGEN, April 9 (Xinhua) -- Painting a gloomy picture of the Danish economy, the country's Finance Minister Nicolai Wammen detailed plans on Thursday for a new scheme to "strengthen the liquidity" and survival opportunities of small and medium-sized enterprises (SMEs).
"The Danish economy is facing a severe blow. The government sees a possible fall in GDP (gross domestic product) of between three percent and six percent in 2020 as a result of the coronavirus pandemic," Wammen said at a press conference.
Over 75,000 Danes, 44,000 more than usual, have registered themselves as unemployed since the start of the crisis, he said.
The Danish government's response is the creation of a new loan scheme worth up to 35 billion Danish krone (5.1 billion U.S. dollars) to help SMEs cope with the "severe financial consequences" of the COVID-19 outbreak.
According to the minister, the "financial cushion" will reduce losses and enable SMEs to quickly restart production on the other side of the crisis.
The Finance Ministry calculates that up to 300 billion Danish krone will be used to support companies and employees, and mitigate the worst financial consequences. (1 Danish krone = 0.15 U.S. dollar)
