Funding needs
The Flemish government has decided that the financing of certain consolidated public institutions will be conducted by the central treasury of the Flemish Community. Before those public institutions raised their own debt directly through to the financial markets, in most cases with a guarantee of the Flemish Community. The central treasury will now borrow directly in its own name for the purposes of financing those consolidated public institutions. The first issues in the second half of 2015 showed a decrease in the interest rate by 20 to 30 base points compared to the guaranteed loans.
The transfer to the consolidated public institutions of these funds (no ESA-impact) is part of the budget. Redemptions (no ESA-impact) are also budgeted, both in the budget of the institutions as in the budget of the Flemish Community. The table below shows that the financing needs of the Flemish Community for 2020 are high with 7.8 billion euro (without the internal redemptions) due to the COVID-19 crisis. Also for the next years the needs on the capital market (without the internal redemptions) are high : for 2021 4.5 billion euro and for 2022 4.0 billion euro.
|
In mio EUR |
2019* |
2020 |
2021 |
2022 |
|
VMSW |
1,100.00 |
966.44 |
930.54 |
936.25 |
|
VWF |
230.00 |
280.00 |
825.00 |
220.63 |
|
School Invest |
46.00 |
0.00 |
91.08 |
36.98 |
|
Lantis (=BAM) |
0.00 |
0.00 |
262.50 |
390.00 |
|
Deficit |
0.00 |
4,050 |
2,341.84 |
2,297.90 |
| SFA grants | 2,132.00*** | |||
|
Total new funding |
1,376.00 |
7,428.44 |
4,450.96 |
3,881.76 |
|
Internal redemptions** |
155.00 |
868.00 |
124.00 |
78.70 |
|
External redemptions |
76.21 |
338.73 |
39.39 |
147.89 |
|
TOTAL |
1,607.21 |
8,635.17 |
4,614.35 |
4,408.35 |
*: realised numbers
**: situation 31/12/2019. For the internal redemptions the assumption is made that these will be reinvested.
***: impact of the crisis on the grants based upon the Special Finance Act
