(Finance) – The European Commission has approved a € 10 billion loan guarantee mechanism prepared by Italy to support companies in various sectors in the context of Russia’s invasion of Ukraine. The mechanism, according to a press release, was approved under the temporary crisis framework for state aid, adopted by the Commission on 23 March 2022.
It will be managed by the public company Foreign Trade Insurance Services, SACE and the beneficiaries they will be entitled to receive new loans, finance leases, and factoring products with recourse. Loans and similar financial products will be covered by a state guarantee of between 70% and 90% of the loan capital, depending on the size and turnover of the companies. Brussels recalls that the maximum loan amount per beneficiary that can be covered by the state guarantee is 15% of the beneficiary’s average total annual turnover over a predefined period of time; or 50% of the energy costs incurred by the company over a period of 12 months. The Commission considers that the Italian regime is in line with the conditions established in the temporary crisis framework.
ABI – reads a note – “promptly issued a circular to the Associates in which it is communicated that the European Commission has just approved the measures of guarantees managed by Sace, to support the companies affected by the Russian-Ukraine crisis, of which 15 of the “DL Aiuti”, as part of the provisions of the Temporary Framework on State Aid, adopted on 23 March 2022. In recent days, the President of ABI, Antonio Patuelli, and the Director General, Giovanni Sabatini, had urged the European and Italian institutions, for timely authorization.
With the authorization of the European Commission they becameor so the guarantees provided for by art. 15 of the “DL Aid”.