The EU awards grants to organisations and, occasionally, individuals, to help them carry out projects that further its policies. Grants are awarded in many different fields, from research to education to humanitarian aid.
The EU rarely finances projects up to 100%. Rather, grants are a form of complementary financing, and the beneficiary organisation will also put up a percentage of the funding for their project.
The European Commission advertises grant opportunities through calls for proposals.
Loans, guarantees and equity
The EU provides loans, guarantees and equity as forms of financial assistance to support its policies and programmes. For example, the EU provides loans to businesses of all types for investment in research and innovation. It also provides guarantees to help beneficiaries to obtain loans more easily or at better conditions from banks and other lenders. The EU may also financially participate in a project by owning parts of it.
Subsidies are managed directly by EU national governments, not by the European Commission. For instance, agricultural subsidies are awarded to support farmers.
Prizes are rewards to winners of contests from Horizon 2020. The winner of a contest will receive cash, publicity coverage or promotion as reward.
The Commission uses public contracts to buy services, works and goods from the market for its internal use. They are selected via calls for tenders and not considered a form of EU funding.
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