Svend-Erik Andersen, chairman of the Danish Fisheries Association has welcomed the loan payment freeze

The Danish Fisheries Association is pleased that the Minister of Fisheries Mogens Jensen is willing to give the fishermen, who are currently hard pressed by the COVID-19 crisis, to postpone repayments and interest on loans in the former Fisheries Bank.

“We need all measures that can mitigate the negative market effects of corona virus. That is why we welcome the initiative. This is something that we have been asking for in the fisheries, so it is good to see that we have been listening,” says Svend-Erik Andersen, chairman of the Danish Fisheries Association, who is very pleased with the minister’s announcement.

Last week, the Danish Fisheries Association called for adjournment, and the minister has followed the fishermen’s play and model.

Specifically, these are loans from the former Fisheries Bank. The fishery bank was closed down in 2008 and the loans were transferred to the state, where they are now administered by Payout Denmark. On 1 April, fishermen with loans had to pay both instalments and interest, but now it is possible to delay the instalment payments in 2020. A delay is offered with April and October instalments 2020 until 28 February, 2021. On 28 February, 2021, the interest portion (including administrative fees) must be paid. Subject to payment of interest and administrative contributions no later than 28 February, 2021, the instalment portion of the instalment payments will be deferred until 6 months after the last ordinary instalment payment is due on the loan. The last ordinary loans expire in April 2028.

That is not to say that the Danish fishermen are now coming through the corona crisis without major consequences and losses. The Danish Fisheries Association hopes that the government is prepared to introduce more measures when necessary in close dialogue with the industry. In addition, the association has contacted Finans Danmark and selected banks with the same request that they gave in relation to loans from the former Fisheries Bank.

“We hope that the banks will also be inspired by similar initiatives to fishermen in need,” says Svend-Erik Andersen:

“Then hopefully, before too long, we can restore stability in the market. Basically, there is still a need for the good and healthy raw materials that the Danish fishermen bring ashore.”