US, UK and Japan push economies with millionaire direct help out of coronavirus crisis

United States, United Kingdom and Japan, the main economic competitors of the European Union (EU), have pushed their economies with millionaire direct aid intended in particular for households and businesses, to get them out of the crisis after the COVID-19 pandemic.

During, Brussels has finally received the green light from its heads of state and government to capture on the market the 750,000 million euros ($ 914,000 million) intended to overcome the crisis caused by the pandemic and which appear in the plan presented by the Community Executive on May 27, 2020.

UK has offered aid of almost $ 400 million

The EU’s economic competitors have also launched their assistance programs to their respective economies with assistance of several million dollars, many of them directly into the pockets of citizens and businesses.

Since the start of the pandemic in March 2020, the British Conservative government has offered aid of around £ 280,000 million (nearly $ 400,000 million), which includes the Coronavirus Job Retention Program (CJRS), increases in social assistance and business loans and facilities.

Last March, the Minister of the Economy, Rishi Sunak, extended until September the CJRS, for which the State initially paid a 80% of salary of the employee (in relation to the hours not worked), up to a maximum of 2,500 pounds ($ 3,500) monthly, and companies contributed to pension and social security.

As of July 1, the government will resume a 70% of salary corresponding to the hours not worked, and companies will contribute to the difference ten% plus the aforementioned contributions.

From August 1 to September 30, the executive will assume a 60% of salary and companies the remaining 20%, in addition to pension and social security contributions, within the limit of the same maximum 2,500 pounds per month ($ 3,500).

At the same time, the government has made available to the self-employed, including those who started their activity during the last financial year (2019-20), Grants equal to 80% of the group’s average profit in three months, up to a total of 7,500 pounds ($ 10,600).

The United States and its millionaire direct aid

the US Congress approved three fiscal stimulus packages to cope with the acute economic crisis caused by the COVID-19 pandemic is worth $ 5 trillion.

The first two were given under the presidency of the Republican Donald Trump in 2020: the first of $ 2.2 trillion, was approved in March of last year; and the second, from 900 billion dollars, in December.

To this, we must add a third, approved in February 2021 with Democrat Joe Biden in the White House, from $ 1.9 trillion.

This huge response from the federal government includes several rounds of direct cash transfers to citizens, as well as the strengthening and extension of unemployment benefits and support for small and medium-sized businesses.

Japan, focused on health spending and promote spending

The Japanese government declared a state of health emergency for the coronavirus for the first time in April 2020, and a month later approved a first round of emergency economic measures followed by a second such match in June, which added to the total 234 trillion yen ($ 2.13 trillion).

This funded amount health resources, private sector support measures such as business loans and grants to businesses affected by restrictions applied to fight the virus, as well as the delivery last summer of 100,000 yen (about $ 910) to all citizens of the country to support consumption.

Last December, The Japanese executive approved a third stimulus package for the national economy worth 73.6 trillion yen (581 billion euros), which included extending liquidity measures for the private sector and subsidies to promote household spending and encourage domestic tourism.

In total, the stimuli mobilized by Japan to mitigate the impact of the pandemic amount to 307 trillion yen ($ 2.79 trillion), which is equivalent to about half the volume of the Japanese economy in 2020.

Its distribution through regional governments, the Bank of Japan and other domestic financial entities will last until March 2022.

(With information from EFE)

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