The "green light" in €2 billion Greek aid scheme euros to support the Greek economy was "lit" by the European Commission to deal with the effects of the pandemic.

The Minister for Development and Investment, Adonis Georgiadis In a post on twitter, he says that with the 2 billion euros "the banks will immediately leverage working capital loans of up to 7 billion. euros. The restart of our Economy is ensured."

While The Executive Vice-President of the European Commission, Margrethe Vestager, in charge of competition policy, said: "The €2 billion Greek scheme The euro that we have approved today allows for the granting of guarantees on working capital loans which will help Greek companies to cover their immediate working capital needs and to continue their activities in these difficult times. We continue to work closely with Member States to ensure that national support measures are implemented in a coordinated and effective manner, in line with EU rules."

The €2 billion Greek support measure euros

The measure will be implemented through the issuance of guarantees by the Hellenic Development Bank (EBA) to financial intermediaries. The measure will provide partial guarantees for eligible working capital loans granted by financial intermediaries.

The scheme is open to all Greek enterprises, with the exception of financial intermediaries such as banks, enterprises operating in the aquaculture and agriculture sectors and in sectors not eligible under the scheme. European Regional Development Fund. It enables the granting of loan guarantees to help businesses meet their immediate working capital needs.

The Commission found that the Greek measure is in line with the conditions set out in the Temporary Framework. In particular, it covers loan guarantees for working capital with a limited duration and amount. It also limits the risk borne by the State to a maximum of 80%. This risk is further reduced by limiting the state's exposure to 40 % of the volume of loans granted by a financial intermediary. This ensures the immediate availability of support on favourable terms. To achieve this objective, the measure also includes minimum fees and safeguards to ensure that aid is effectively granted by banks to beneficiaries in need.

The Commission concluded that the measure is necessary, appropriate and proportionate to remedy a serious disturbance in the economy of a Member State, in line with Article 107(3)(b) TFEU and the conditions set out in the Temporary Framework.