Municipal Support Fund for investment and economic development in Porto budgeted at 315 thousand euros

The strengthened support by Porto City Hall to all sectors of society, civil and business affected by the current pandemic includes the establishment of a Municipal Support Fund for investment and economic development, budgeted at 315 thousand euros.

This aid will be granted to startups, micro businesses and SMEs in the city of Porto; it also features tax concessions and the exemption from the payment of municipal taxes to traders and other economic agents, ensuring capital increase and liquidity. 

The proposal by Mayor Rui Moreira will be voted through during the Municipal Executive Meeting, next Monday, 11th May.

This aid follows the first package of economic measures to fight the pandemic, namely the Emergency Support Line to Associations and other measures taken by municipal companies Domus Social, SRU, Porto Vivo and Águas do Porto.

The new support measures that Rui Moreira will propose to the Municipal Executive, during the private meeting on 11th May, to be held via videoconference, is targeted at street trading and traditional retailing, services, trade, leisure and tourism services in the municipality that have "shut down" and will reopen in a phased way.

Financial means will be allocated by the Municipality, however, Mayor Rui Moreira does not exclude the possibility of "private sector participants taking part in this restructuring of the city's economic fabric".

Also, there will be consulting services in specific areas to support companies that may contribute at mitigating the effects of the crisis and promote economic recovery. Such support can be provided by InvestPorto, in coordination with other entities and advisory companies.

In addition, a team will be established to provide support regarding contacts with companies, the formalisation of the application form to the fund and follow-up.

The document will be appreciated next Monday in the Municipal Executive meeting; also, exemptions and VAT reimbursements will only be granted to economic agents and entities whose tax situation, within the municipality, is in order.

The document also refers that the respective loss of municipal income does not undermine the 2020 and 2021 municipal budgets.