Europe’s next big rescue idea: Public stakes in small firms

The European Commission and the Bank of England have both floated the concept, and France’s finance ministry is examining the option. So is Germany’s economy ministry, according to a spokesman

FRANKFURT: European governments that frantically assembled plans to help their economies weather the coronavirus lockdowns are starting to focus on a cliff edge: how to prevent cascading bankruptcies that could derail the rebound.

The next big idea gaining traction among officials and economists is potentially taking stakes in small and medium-sized businesses, in contrast to early efforts that relied heavily on loans to keep corporations afloat.