State-guaranteed loans: 3 out of 4 companies have chosen to postpone the deadline


74% of companies having taken out a State Guaranteed Loan (PGE) requested a one-year postponement of the first maturity, in order to complete the repayment of their loan in 2026.

Government guaranteed loans: deferral does not mean zero interest payable

The State Guaranteed Loans (PGE) were supposed to be repaid in January 2025. But, with the health crisis continuing, Bercy granted in January 2021 an additional period of one year. (Concretely, all business leaders wishing to benefit from it must make a request to their bank, a request which is automatically accepted.) The French Banking Federation tells us today that 74% of the companies that have taken out these loans have in fact chosen to request this extension of maturity.

During the first year of the loan, these companies will therefore only have to pay the interest and the cost of the State guarantee. The repayment of the principal will not begin until 12 months after the request for the extension of the due date.

Government guaranteed loans: higher interest rates for long loans

The French Banking Federation also tells us that half of the companies now have on their account the sum equivalent to the PGE subscribed but choose to reimburse it later. These loans therefore serve as a safety mattress in the event of a possible hard blow.

However, the cost of these loans is not zero. Interest varies from 1 to 1.5% for loans repaid by 2022 or 2023 and from 2 to 2.5% for loans repaid by 2024 to 2026.