On 29 May the European Commission issued a positive decision on an aid scheme that provides for granting public aid to entrepreneurs in the form of a soft loan subject to redemption.
The scheme provides for granting loans to large enterprises and selected small and medium-sized enterprises to finance their day-to-day operations, while the redemption is intended to compensate them for the damage they have suffered due to the epidemic outbreak. The amount of redemption may not exceed 75% of the loan principal and 75% of the damage suffered by the entrepreneur. The aid scheme was approved under two legal bases:
1. the soft loan was approved under section 3.3 of the Temporary Framework for State aid measures to support the economy in the context of the ongoing Covid-19 epidemic
2. the redemption was authorised directly on the basis of Article 107(2)(b) TFEU.
The approved scheme has a budget of PLN 7,5 billion. It is part of the government’s programme entitled „Financial shield of the Polish Development Fund for large companies.”
