Economics

Spain Considers Debt Relief for Companies as Virus Pain Persists

  • Government is discussing proposals, no decision has been taken
  • One suggestion is to excuse a portion of state-backed debt
Photographer: Paul Hanna/Bloomberg
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Spain’s government is considering debt relief for companies as extended pandemic restrictions and a slow European vaccine rollout tip the economy into another downturn, according to officials.

One proposal would excuse a portion of the debt borrowed through Spain’s state-backed loan guarantee program for companies that stand a good chance of surviving after the pandemic, the officials said. They asked not to be identified because the talks are confidential and no decision has been reached.