On Friday 29 May the European Commission approved several temporary state aid schemes in response to the economic crisis caused by the Covid-19 pandemic.
Italy. An Italian scheme worth €12 million to support agricultural businesses affected by the coronavirus has been approved. The scheme was approved under the Temporary Framework for State Aid measures adopted by the Commission on 19 March 2020, as amended on 3 April 2020 and 8 May 2020. The aid will take the form of direct grants and will be available to businesses of all sizes, including the self-employed, active in the agricultural sector. Support under the Common Agricultural Policy will be paid approximately 4 months before the envisaged date. This measure is expected to benefit over 1,000 companies. The aid does not exceed €100,000 per company.
Estonia. The Commission has approved a €4 million Estonian programme to support businesses renting premises in shopping centres. The amount of public aid to which firms will be entitled under the scheme will match, up to 25% of the rent, the discounts which each lessor may decide to apply to rents, in view of the current crisis situation.
Latvia. The green light was given to a Latvian programme amounting to €800,000 to support tour operators who bore the costs of repatriating travellers who were abroad, in the context of the coronavirus. The public support, which will take the form of direct grants, is intended to cover the financial costs incurred by those operators for the repatriation of Latvians who were on holiday abroad in the course of the outbreak. The objective of the plan is to alleviate the cash shortages faced by tour operators due to the costs incurred in repatriating travellers.
Finland. The Commission has approved, under EU state aid rules, a Finnish €120 million scheme that compensates businesses operating restaurants, bars or cafés for the loss of income caused by the coronavirus pandemic and the national measures taken to limit the spread of the virus. These companies will be entitled to compensation for damage suffered during the two-month closure period in Finland in the form of direct grants covering 15% of their loss of income up to €1 million and 5% for the part of their losses above €1 million. Aid may be granted up to a maximum of €500,000 per beneficiary.
In addition, the Commission has approved, also under EU state aid rules, the Netherlands' plan to set up a new development finance institution called 'Invest International'. The Dutch State will provide seed capital of up to €800 million and annual subsidies of €9 million. (Original version in French by Lionel Changeur)