On Wednesday 15 April, the European Commission approved several aid schemes to assist economies and businesses affected by the coronavirus.
These measures have been authorised under: - EU state aid rules (in the Danish case); - the ‘Temporary Framework’ for State aid adopted by the Commission on 19 March and amended on 3 April 2020.
Denmark. The Commission has validated a Danish State guarantee of up to €137 million for a revolving credit line in favour of Scandinavian Airlines (SAS) under EU state aid rules. This scheme aims to partially compensate the airline for harm caused by the pandemic.
France. Following the authorisation on 30 March of the €1.2 billion French scheme for small and micro enterprises and the self-employed affected by the pandemic, France notified the extension and modification of the ‘Solidarity Fund’ under the ‘Temporary Framework’. The measure has a provisional budget of €1.7 billion for March 2020 and €2.9 billion for April 2020. This support consists of direct grants to enable beneficiaries to cover their operating costs in the context of the pandemic. Companies with a maximum of 10 employees and a yearly turnover not exceeding €1 million are eligible.
Czech Republic. The Commission has authorised a €37 million Czech aid scheme to support investments by SMEs to produce goods needed to cope with the pandemic. The aid will take the form of direct grants. It will cover 50% of the eligible costs borne by companies in order to create production capacity for the manufacture of products to be used in the fight against coronavirus.
Bulgaria. The green light has been given to a €770 million Bulgarian support scheme in the form of wage subsidies to preserve employment in the sectors most affected by lockdown measures. The aid scheme finances 60% of wage costs (including employers’ social security contributions) for companies that would dismiss staff because of the pandemic in the absence of such aid. The measure is reserved for firms operating in the most affected sectors (retail, tourism, passenger transport, culture, sport and leisure activities).
Sweden. The Commission has approved a Swedish scheme for rent rebates of up to €453 million for tenants operating in the hotel, restaurant and retail sectors as well as certain other activities. The measure covers up to 50% of rent reductions negotiated between tenants and landlords for the period from 1 April to 30 June 2020. (Original version in French by Lionel Changeur)