State aid: Commission adopts Temporary Framework to enable Member States to further support the economy amidst COVID-19 outbreak
date: 27/03/2020
Together with many other support measures that can be used by Member States under the existing State aid rules, the Temporary Framework enables Member States to ensure that sufficient liquidity remains available to businesses of all types and to preserve the continuity of economic activity during and after the COVID-19 outbreak. It provides for five types of aid: direct grants, selective tax advantages and advance payments of up to €800,000 to a company to address its urgent liquidity needs; State guarantees to ensure banks keep providing loans to the customers who need them; subsidised public loans to help businesses cover immediate working capital and investment needs; safeguards for banks that channel State aid to the real economy; and enabling short-term export credit insurance to be provided by the State when needed.