March 11, 2020
By: Caity Witucki
BREAKING NEWS – President Trump Instructs Congress to Increase SBA Funding in Response to Coronavirus Outbreak
Wednesday night, President Donald Trump addressed the nation in response to the Coronavirus epidemic. In the address, President Trump announced that he was canceling all US travel from Europe for the next 30 days in an attempt to slow the spread of the Coronavirus. He also announced his intent to help the U.S. economy during the Coronavirus outbreak by increasing SBA funding by an unprecedented $50 billion.
“This is not a financial crisis. This is just a temporary moment of time that we will overcome together as a nation and as a world,” says Trump. “However, to provide extra support for American workers, families, and businesses, tonight I am announcing the following additional actions. I am instructing the small business administration to exercise available authority to provide capital and liquidity to firms affected by the Coronavirus. Effective immediately, the SBA will begin providing economic loans in effect in states, and territories. These low-interest rate loans will help small businesses overcome temporary economic disruptions caused by the virus. I’m asking Congress to increase funding for this program by an additional $50 billion. Using emergency authority, I will be instructing the treasury department to defer tax payments without interest or penalties for certain individuals and businesses negatively impacted. This action will provide more than $200 million of additional liquidity to the economy.”
At this time, the SBA has not responded to the President’s announcement and it is unclear how the additional funds will be disbursed. More information is expected in the coming days.