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Spain readies measures to support hospitality sector, mulls longer loan scheme

MADRID, Nov 12 (Reuters) - Spain is considering extending its scheme of state-backed credit lines beyond December while also preparing measures to support the battered hospitality sector during the coronavirus pandemic, sources with knowledge of the matter said on Thursday.

“Everything is under discussion right now, the increase of the grace period, the extension of those credits and of the entire scheme beyond December, but nothing has been closed yet,” one source said.

A government source said measures to extend loan grace periods - which allow borrowers to delay payment without being charged late fees and not resulting in default or loan cancellation - would likely be approved by the cabinet as soon as on Tuesday and would initially target the hospitality sector. (Reporting by Jesús Aguado and Belén Carreño, editing by Andrei Khalip)