CFM INDOSUEZ Wealth Management - 2020 Annual Report

THE ENV I RONMENT I N MONACO I N 2 0 2 0 22 For Monaco as for the rest of the world, 2020 will remainmarked by theCovid-19 pandemic. All business sectors were impacted by the measures taken, in particular the lockdown of the Principality and neighbouring countries. Despite summer and end- of-year holiday periods that allowed for a substantial increase in activity, the majority of economic indicators remain depressed in annual terms. Maintaining a balance between health and the economy Finding a balance between the necessary protection of public health and the preservation of economic activity: this is the philosophy that has guided the actions of the Prince's Government since the start of the Covid-19 pandemic. The government has simultaneously extended its support to businesses, professionals and employees. In 2020, revenue — excluding the financial and insurance sector — stood at €13.8 billion, down €1.18 billion from the previous year (-7.8%) to return to its level in 2017. The budget deficit was kept under control at €100 million. The Prince’s Government has taken exceptional measures to support Monegasque businesses facing economic difficulties due to the Covid-19 pandemic. These have included an interest subsidy scheme for bank financing, an additional allocation of €50million to the Credit Guarantee Fund with a State guarantee quota of 100% for eligible credits in the event of default, as well as numerous other financial support schemes aimed at companies and independent workers, tax payment deferrals and staggered payments of social contributions, exemptions and other assistancemeasures. Thesemeasures continue to support all thosewhomake up the economic fabric of the Principality. Within the Principality, employment was strongly supported by the government over the course of this pandemic year. After a decline in March and April, it “THE SUSTAINABLE DEVELOPMENT INITIATIVES IMPLEMENTED BY THE PRINCE'S GOVERNMENT ARE DIVERSIFYING AND REACHING ALL SECTORS.” Mar i e-Odi le Jor i s General Secretary