Business group calls for 'SME guarantee fund' 

Eurochambres Secretary-General Arnaldo Abruzzini told EurActiv that the twin problems of slow payment and a lack of credit are forcing viable businesses into bankruptcy. He said money from the European recovery plan could be leveraged by a factor of 70 if used to support credit for small businesses. 

"This proposal would be a guarantee to existing national guarantee schemes which are already in place in some member states, and it could also serve as a guarantee in countries where there is no such scheme at present," he said. 

Banks are currently insisting that SMEs requesting loans provide higher levels of collateral than were required in the past. "Loan guarantees from Europe would be a major help in solving this problem. We are proposing €5 billion to start with," Abruzzini said. 

The proposal is one of a series of measures designed to protect SMEs from the impact of the ongoing financial crisis which were put forward by Eurochambres in a meeting with Swedish Prime Minister Fredrik Reinfeldt in Stockholm yesterday (6 April). 

In a document presented to the Swedish government, which assumes the rotating EU presidency from the Czech Republic on 1 July, Eurochambres was critical of the time the European Commission is taking to publish the "already heavily overdue" revamp of the Late Payments Directive. 

A revision of the directive has been expected for several weeks, and is likely to require public authorities to pay contractors within 30 days. 

The group also urged the Swedish Presidency to devise a new jobs and growth plan built on the acquis of the current Lisbon Strategy, which expires next year. 

It wants Sweden to apply pressure on the EU institutions to integrate e-signatures into their e-procurement processes, reduce administrative barriers to such contracts and ensure rapid implementation of the Small Business Act. 

Eurochambres has suggested that a calendar be drawn up to monitor national implementation of the Act and further consultation on how to ensure that the 'think small first' principle is enshrined in policymaking at all levels. 

Implementation of the SBA and an update of the Late Payments Directive have also been highlighted as priorities by the European Commission's SME envoy, Françoise Le Bail.