Jun 30, 2020 - Economy

Mnuchin says leftover PPP funds should go to hardest-hit industries

US Secretary of the Treasury Steven Mnuchin wears a mask behind a plexiglass barrier, preparing to testify before the House Financial Services Committee in Washington

Mnuchin prepares to testify before the House Financial Services Committee on Tuesday. Photo: Asos Katopodis/Pool/AFP via Getty Images

Treasury Secretary Steven Mnuchin said at a congressional hearing on Tuesday that the $134 billion in leftover funds from the Paycheck Protection Program (PPP) should be repurposed and extended to businesses that have suffered the most during the coronavirus pandemic, including "restaurants and hotels."

Why it matters: Today is the last day small businesses can apply for loans via the PPP, as coronavirus cases spike and some states are pausing or rolling back reopening plans. The prospects for small businesses, many of which have already seen significant revenue drops, are devastating.

The big picture: Mnuchin also said that additional stimulus money will be needed, though it should be targeted to "certain industries that have been hard hit by the pandemic."

"I do think we need to look at in the next CARES Act is additional funding for these industries that are the hardest hit so they can continue to rehire people."
ā€” Steven Mnuchin

Note: Axios returned the PPP loan that it qualified for.

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