The European Commission has approved a €450 million Greek scheme to support companies active in the tourism, transport, construction and energy sectors that have been particularly affected by the measures imposed to limit the spread of the coronavirus outbreak. The measure was approved under the state aid Temporary Framework. The support, which will take the form of subsidized loans, will be open to companies with up to 3,000 employees in the sectors concerned.
The scheme will be financed with the resources of the Greek Infrastructure Fund (also called ‘InfraFoF'), which is co-financed by the European Regional Development Fund and the Greek State. The Greek Infrastructure Fund is managed by the European Investment Bank. The scheme will be implemented through local banks on behalf of the Greek Infrastructure Fund, which also requires the banks to provide complementary financing to the public loans.
The measure aims at helping the beneficiaries address their liquidity needs and continue their activities during and after the outbreak. The Commission found that the measure is in line with the conditions set out in the Temporary Framework. In particular, i) the support can be granted only in relation to new loans; ii) the interest rates applied to the subsidized loans are in line with the conditions set out in the Temporary Framework; and iii) the subsidized loans may be granted until 30 June 2021.
The Commission concluded that the scheme is necessary, appropriate and proportionate to remedy a serious disturbance in the Greek economy, in line with Article 107(3)(b) TFEU and the conditions set out in the Temporary Framework. On this basis, the Commission approved the measure under EU state aid rules.
More information on the Temporary Framework and other actions taken by the Commission to address the economic impact of the coronavirus pandemic can be found here. The non-confidential version of the decision will be made available under the case number SA.58368 in the state aid register on the Commission's competition website.