Biden slams PPP, claims funds were not distributed to small businesses

Kudlow: Unemployment assistance would be ‘smart’ to help economy

National Economic Council Director Larry Kudlow discusses the possibility of additional stimulus, Joe Biden’s plans to raise taxes and how the Trump administration has rebuilt the U.S. economy.

Democratic presidential candidate Joe Biden criticized a federal coronavirus relief program that targeted small businesses – known as the Paycheck Protection Program – claiming the funds never made it to the intended recipients.

Continue Reading Below

Biden said during an event in Delaware on Wednesday that “tens of thousands” of small businesses are going under as a result of the pandemic, which he attributed to the fact that money, provided for under the CARES Act, didn’t make it to them.

“You have tens of thousands of them going out of business,” Biden said. “Why? Because the money didn't get to small businesses."

BIDEN WILL HAVE TO RAISE MIDDLE-CLASS TAXES TO FUND SPENDING 'DREAMS': KUDLOW

Additionally, the former vice president noted there is a need to provide federal aid to businesses that have been damaged as a result of protests that have turned violent in some cases.

The paycheck program is one of the aid packages the Trump administration has credited with helping the U.S. economy weather the coronavirus-induced recession.

White House Economic Adviser Larry Kudlow told FOX Business during an interview on Wednesday that there are some targeted programs being discussed in a potential stimulus package that could be “very helpful” to the U.S. economy, including an extension of PPP.

“That is something that would be of great help. OK, the recovery may not depend on it but that’s not important,” Kudlow said. “It would help. Why not do it?”

The window for submitting an application for a PPP loan closed last month.

GET FOX BUSINESS ON THE GO BY CLICKING HERE

About 5.2 million loans were approved through the program, according to data from the Small Business Administration, valued at around $525 billion. The average loan size was $100,729.

CLICK HERE TO READ MORE ON FOX BUSINESS

FOX Business’ Hillary Vaughn contributed to this report.

Source: Read Full Article