The federal government will not give an additional grace period to institutions that must repay the emergency loans granted to them by the government during the COVID-19 pandemic.

Thus, Prime Minister Justin Trudeau has closed the door on another extension of the deadline, which ends the day after tomorrow, Thursday, January 18, to repay these loans that the government provided to institutions under the "Canada Emergency Business Account" (CUEC / CEBA) program.

These loans, also widely known as "COVID loans," were primarily granted to small and medium-sized enterprises operating in sectors such as retail, restaurants, and tourism.

In his speech today before an audience of about 650 people from the business sector who responded to the Greater Montreal Chamber of Commerce's (CCMM) invitation, Trudeau was very clear about these loans.

"After the most severe period of the (COVID-19) pandemic, there are other challenges. We have extended this aid twice previously, but at some point, it is time to move forward," said the Liberal Prime Minister.

Trudeau's remarks came in response to a question from Chamber of Commerce President Michel Leblanc, who, like many other economic organizations, is concerned about seeing the beneficiaries of these loans unable to repay them within the specified deadlines.

It is noted that many large organizations, especially those representing small and medium-sized enterprises, have requested another postponement of the repayment deadline for these institutions' loans, citing reasons including the current economic context characterized by inflation and rising interest rates.

But Trudeau responded that those who received these loans had "many options" and that "the majority of the institutions" concerned are repaying their loans respecting the January 18 deadline.

One important element surrounding these loans is that a part of it is in the form of a grant that the borrower is not required to repay. The grant amount ranges between $10,000 and $20,000, depending on the size of the loan.

The borrower loses this grant if they do not repay their loan within the specified deadline, which ends the day after tomorrow, or if they do not obtain refinancing for their loan from a bank by the deadline.