On Thursday 30 April, the European Commission approved the modification by Greece of a guarantee scheme to support companies affected by the Covid-19 pandemic. It will help Greek companies, including the self-employed and companies active in the agricultural and aquaculture sectors, to cover their immediate working capital needs and to continue their activities in these difficult times.
The scope of the scheme has been extended by increasing its budget to EUR 2.25 billion. The support measures will be co-financed by the EU Structural Funds.
The existing scheme was initially approved on 3 April under the State aid Temporary Framework adopted by the Commission on 19 March, as amended on 3 April 2020 (see EUROPE 12462/2).
Following the approval of a €2 billion Greek guarantee scheme to support companies affected by the coronavirus, Greece notified the Commission of its modification. The ‘Covid-19 Guarantee Fund’ of the Greek Development Bank (HDB) will be responsible for implementing the measure.
The existing scheme is amended as follows: - the scheme will now be open to self-employed workers and companies in the aquaculture and agriculture sectors.
In addition to issuing partial guarantees for eligible working capital loans provided under the initial measure, the scheme will now offer the possibility of subsidising loan guarantee premiums. The budget has been increased by €250 million to cover the subsidisation of guarantees, bringing the measure’s total budget to €2.25 billion.
Lithuania. In addition, on 30 April, the Commission validated a €101.5 million Lithuanian scheme to support sectors affected by the consequences of the pandemic. The scheme will be available to companies operating in certain sectors (retail, hotels, restaurants, culture and sports) with an annual turnover not exceeding EUR 50 million in the previous year.
Public support will take the form of direct subsidies to cover some of the rent owed by companies. The plan is designed to alleviate sudden liquidity shortages experienced by tenants in certain sectors. (Original version in French by Lionel Changeur)