[ S.L. 463.31 INTEREST RATE SUBSIDY 1 SUBSIDIARY LEGISLATION 463.31 INTEREST RATE SUBSIDY, REGULATIONS 1st September 2019 LEGAL NOTICE 285 of
- The title of these regulations is the Interest Rate Subsidy, Regulations. Citation.
- requires: In these regulations, unless the context otherwise Interpretation. "the Act" means the Malta Enterprise Act; Cap.
- "bank" means a bank in terms of the Banking Act; Cap.
- "the Corporation" established under the Act; means the Malta Enterprise "eligible costs" means expenditure of a capital nature, incurred as part of an eligible investment project as defined in the Guidelines; "eligible investment project" means an initial investment project in a qualifying economic activity as defined in the Guidelines; "Guidelines" means such guidelines as may be published by the Corporation from time to time in terms of the Act; "large undertaking", "medium-sized undertaking", and "small undertaking" shall have the meaning attributed to them in the Guidelines; "tangible assets" means fixed physical assets in relation to the creation of an undertaking, or extension of an existing undertaking, or engagement in activity involving fundamental product or production process change; and "undertaking" means an undertaking as defined in the Act. 3.
(1)Where the Corporation is satisfied that an undertaking which carries out in Malta, an eligible investment project, as shall have been approved by the Corporation in accordance with the terms and conditions set out in the Guidelines, the Corporation may subsidise the rate of interest payable by the undertaking on loans which the said undertaking may take out in order to finance the procurement of qualifying tangible assets.
(2)The subsidy shall not exceed an interest rate equivalent to three percent (3%) per annum. In any case 1% of the interest rate Loan interest rate subsidy. 2 [ S.L. 463.31 INTEREST RATE SUBSIDY charged by the bank must be paid by the beneficiary. Irrespective of the term of the loan the subsidy shall only be available up to the tenth (10th) year from the date of the initial drawdown.
(3)Loans which qualify for the interest rate subsidy contemplated by this regulation shall be loans provided by banks licenced to operate in Malta. Eligibility. 4.
(1)Undertakings supported through this measure shall be SMEs as well as large undertakings. To be eligible for aid through this incentive, an undertaking must operate from Malta and be incorporated in the European Union as a partnership en nom collectif, en commandite or a limited liability company, co-operative, family business or similar set-up.
(2)The loan covered by the subsidy shall be used to procure tangible assets. Aid intensity. 5. The assistance granted in terms of regulation 3 shall be calculated at the Net Present Value at time the aid is awarded and the total assistance shall not exceed the percentage as established below (
- a)thirty per cent (30%) of eligible costs in the case of small undertakings; (
- b)twenty per cent (20%) of the eligible costs in the case of medium-sized undertakings; and (
- c)ten per cent (10%) of eligible costs in the case of large undertakings. Last day for submission of applications for assistance. 6. Applications for assistance under these regulations shall reach the Corporation by not later than the 31st December 2022.