The Welsh Government today sets out how it will work to reconstruct and rebuild Wales’ economy so it is more prosperous, equal and green than ever before.
Part of the plan will include an additional £270m available to support businesses through the Development Bank of Wales. This new finance will help Welsh firms to focus on their long term success.
The boosting of the fund will allow more firms to grow and expand, and this finance can make debt and equity investments of between £25k and £10m, including 15-year loans, to SMEs and non-SMEs.
Economy Minister Ken Skates said:
“This last year has been incredibly difficult for everyone and while our vital work to combat the virus goes on, it is important to consider what comes next.
“We have an opportunity to look to the future and reconstruct the economy with the fundamental goal of achieving long term well-being with dignity and fairness for people.
“We will do this by strengthening the everyday economy, delivering on our Covid Commitment to support people in improving skills and gaining employment, and by helping businesses meet the challenges and opportunities of today and tomorrow. We will also maximise sustainable investment in Wales and fortify our pursuit of fair work and social value with businesses and organisations who receive public funding.
“The additional £270m funding for the Development Bank will support businesses the length and breadth of Wales, creating and protecting thousands of jobs for individuals as we seek to deal with the long-term challenges of Covid and Brexit.”
The Welsh Government will use ‘magnet projects’ to maximise future major investments, attracting longer term investments and provide employment, skills and development opportunities.
The Covid Commitment introduced by the Welsh government ensures that nobody will get left behind from the impact of the pandemic. They have also stated that there is every possible opportunity for people to retrain and learn new skills.
The Welsh Government will also look to refresh and strengthen the Economic Contract to help businesses embed fair work, low carbon and climate resilience into their operations.
Ian Price, CBI Wales Director, said:
“The goal to deliver a competitive and sustainable economy that raises living standards, promotes higher pay and delivers the revenues we need to support public priorities is the right one for Wales.
“But the Welsh Government can’t do that alone. From promoting diversity and inclusion to improving mental health, championing green behaviours to inspiring the next generation; business must continue to be a true partner of government. At its best, business is an engine of progress that will play a crucial role in overcoming the pandemic and building a better Welsh economy.
“Additional sources of accessible finance are welcome and represent an important investment in the Welsh business community, one that will be repaid through jobs, growth and, ultimately, delivering a more prosperous Wales.”
The Welsh Government will later this week launch A Manufacturing Future for Wales: A Framework for Action which identify the steps needed to develop a resilient, high-value manufacturing sector for the future Welsh economy.