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The impacts of the pandemic continue to be felt not only in the healthcare sector, but also in the economy. The recent concern expressed by AHRESP, which identified significant difficulties among restaurant and hospitality business owners in meeting the repayment of loans taken out during the pandemic, is a clear sign that the symptoms persist.
In an opinion article for Jornal de Negócios, Marina Carvalho, Senior Associate in the Litigation & Arbitration practice at CCA Law Firm, warns of the economic consequences of so‑called “long COVID”, which is now manifesting itself in the financial difficulties faced by many companies.
“Five years after the onset of the pandemic, the economic and financial difficulties that are emerging are nothing more than a reflection of a ‘long COVID’, but in its economic expression,” the lawyer underlines.
According to Marina Carvalho, the solution should not lie in taking out new loans to repay old ones, but rather in more structural therapies, such as reassessing the conditions of existing financing or creating appropriate financial instruments. The lawyer also recalls that the Portuguese legal system already provides relevant mechanisms, such as the Special Revitalisation Procedure (PER), the Extrajudicial Business Recovery Regime (RERE), and, ultimately, insolvency proceedings.
The conclusion is clear: ignoring these warning signs may prove costly for companies and for the economy. As in healthcare, in business life too, a delayed diagnosis can aggravate the condition — and make treatment more difficult.
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- Jornal de Negócios