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Pantxoa Bimboire: "75% of the companies in Ipar Euskal Herria claim to be in a difficult economic situation"

  • Pantxoa Bimboire, advisor to the president of the Chamber of Commerce and Industry of the Northern Basque Country (MIG), explained to ARGIA the economic situation of Lapurdi, Baja Navarra and Zuberoa in the context of the coronavirus epidemic. From 19 to 23 March, the survey shows that 75% of companies are in a strong economic situation and 63% say that if the situation does not improve they will have to stop their economic activity. While containment is necessary, economic activity can be resumed in the coming days and weeks with the acquisition of material for the protection of the virus.

09 April 2020 - 15:05

“Today it’s not a small flu that lasts for a few weeks or months, it’s going to cost the economy to resume and it’s going to cost a lot.” If Pantxoa Bimboire, advisor to the president of the Chamber of Commerce and Industry (MIG) of Ipar Euskal Herria, sees the situation as harsh as the current one, he does not see the grain much better.

However, it does not rule out that confinement is inevitable: “On 15 March, the containment decision was necessary and it would have been better if they had done so from before. When there is no mask, confinement is the only way out.” The CIC has a Crisis Commission that aims to respond to the concerns, questions or needs of the context of the coronavirus epidemic. The surveys carried out between 19 and 23 March were the drivers of the establishment of this committee. 75% of the 902 companies replied that the economic situation is severe. In particular, 82% were dedicated to hospitality, 79% to construction, 34% to industry and services and 25% to agriculture. Most of them are small businesses with fewer than five workers. In addition, 63% of respondents believe that the company should die from economic causes, which is not ruled out.

Regarding Ipar Euskal Herria, although there are no official figures, Bimboir concludes that: “Half of the 60,000 workers in Ipar Euskal Herria are in technical unemployment.” In the coming days or weeks, he says that production will gradually resume, “respecting the protection measures”. At present, if the protective measures have already been complied with, the head can keep the factory open. And several people reopened their doors in the second week of lockdown. Especially large companies. For example, the aviation company Dassault, located in Anglet, is trying to open the doors announced on 18 March, when the CGT trade union is facing in defence of the right to health of workers. In this plant, 970 people work and some were quarantined due to coronavirus symptoms. “There are no masks! That also hinders it. But, over the weeks, you can think that this is going to improve and that in one way or another they are going to get back to work.”

The French Government has taken the necessary steps to deal with the situation:

The French Government, faced with the economic crisis caused by the coronavirus, has a number of aids under way. The aim is clear: to limit company failures.

For structures in difficulty, it has deferred the payment of social contributions for March and April, and the same for the payment of taxes. It has also put on the table the possibility of partial unemployment. In addition, a solidarity fund of EUR 2 million has been set up, so the company in difficulty can receive aid of EUR 1,500 if the request is made. So that the money can continue to be denied by hand, when applying for the loan to the bank, the guarantee will be provided by the State company.

On the other hand, the Government is also studying the possibility of cancelling or at least delaying electricity, rents, gas bills, and is trying to reach an agreement with the entities in these sectors.

These measures to deal with the economic crisis have a direct consequence: The debt of the French State will continue to increase. According to initial estimates, if it reached a cost of 45 miles of euros, it would eventually appear to be 60 miles of euros – “and who knows if in a few months it can be 100 miles of euros”, adds Bimboir. In this respect, the adviser to the president of MIG-Berdeak, aware that he is already deficient, finds it difficult to allocate more aid: “France imposes money, but then it will also be difficult to get it out, as it will have to pay the debt one way or another.”

Asked about the need to overcome the coronavirus crisis and develop an alternative system, he points out that it is essential to reverse the changes, but people and companies are not prepared to do so. "It is my hope that with today people will realize the need for change, but I don't know if it's a dream. Be that as it may, I will play my small role in making things change."

 

 


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