MILAN (Reuters – A draft decree seen on Monday by Reuters indicated that Italy will offer state guarantees to businesses whose activities were disrupted due to the conflict in Ukraine. The guarantee covers between 70%- 90% of their financing from lenders.

The credit exports agency SACE can guarantee up until December loans of six-year maturity. However, this period may be extended to eight years.

SACE, the Italian Treasury’s representative, was to take responsibility for recovering loans after banks tap guarantees. Then, the loan would be transferred back to Italy.

SACE said it can give the rights to delegate its recovery activities to the banks that it has provided guarantees or to third parties.