The financial support to SMES during the Covid 19 pandemic

Because of the Covid 19 pandemic, companies are facing one of the worst economic crisis since the Great Depression of 1929. The crisis hit in particular medium and small business that had to deal with economic and structural consequences, starting from a cash and capitalization not adequate. By the end of May 2020 most of the Smes needed a great financial support. Around 60% of firms slowed down, while 30% suspended their activities totally. Only a few number of companies succeeded in catching new opportunities to produce essential goods during the lockdown or carry on business not affected by the pandemic. The Italian prime minister, Mario Draghi, approved the Support Decree (Decreto Sostegni), a document which outlines plans for the latest round of Covid-19 financial aid for companies, workers, and families. The aim of this analysis is to investigate the measures supporting companies, that Italian government is introducing to relaunch the economy and to handle the negative impact the covid 19 pandemic has determined. The research is based on the study of the recovery plan 2021 approved by the Council of Minister on the 12th January 2021. In particular the attention is focused on those forms of financial support to small and medium sized business investing in innovation.