Law n˚177 of May 13, 2020 on the suspension of the repayment of loans granted by banks and credit counters has been published in the Official Gazette.

The Law provides for the suspension of the repayment of all bank and credit counter loans granted to clients whose industry has been affected by the spread of the Coronavirus as well as the suspension of the payment of instalments of loans and accrued interests due on April 1st, 2020 for a period of 6 months.

The law also suspends all legal, judicial and execution measures covered by the provisions of this law and prohibits banks and credit counters from charging legal or contractual penalties or any commissions or late interest fees.

The suspension only affects loans of clients whose monthly income does not exceed the minimum wage, clients whose income has been reduced by half or more, or who have been partially or permanently laid off. The suspension also affects loans granted to clients who work in the following sectors: industry, agriculture, tourism, restaurants, coffee shops, transports and production.

The Law shall come into force immediately upon publication in the Official Gazette.

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