Faro will start receiving the 16,7 million euros that it asked to pay short-term debts due, under the Local Economy Support Program (PAEL), after the Court of Auditors gave the green light this Wednesday, at the request of the Algarve municipality. The amount will be delivered in three installments, but 60 percent of this amount will be delivered to the head.
The next two tranches, of 20 percent each, depend on proof of payment of debts covered by the previous tranche and, in the case of the second, on the approval of a loan of 5,7 million euros requested from the Bank, to complete the amount that the municipality of Faro needs to meet these commitments.
«This financing is meanwhile guaranteed by the Banking, which demonstrates that the Municipality has already recovered a capital of credibility that, until recently, it did not have», assured the municipality.
The Municipality of Faro applied for the PAEL in 2012 and saw your proposal approved by the Government in December of the same year. At that time, the support approved by the Government amounted to 21 million euros. But the process was suspended, since that time, awaiting a visa from the Court of Auditors, which was asking for clarification, on different occasions, from the municipality.
«The main objective of the PAEL is the settlement of invoices overdue for more than 90 days, issued until March 31, 2012, in a total of more than 7200 documents, corresponding in their vast majority to companies in the municipality. This extraordinary funding thus also allows us to inject capital into our companies, thus constituting an important contribution to the financial balance of the economy of Faro. For the municipality, this is the only way to honor long-standing commitments and, above all, it brings new hope in the economic revitalization that is undoubtedly underway in our city», considered the municipality, in a press release sent to newsrooms.
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