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Details of Finland's support measures to help citizens and companies during the significant economic impact of the coronavirus pandemic.

Since the beginning of the pandemic, the Commission has adopted support measures under the state aid Temporary Framework and EU state aid rules. These measures aim to help citizens and companies and mitigate the significant economic impact of the coronavirus pandemic:

  • on 11 February 2022, the Commission approved a €48.62 million aid measure to support Finnair. The support, in the form of a loan, aims to compensate the airline for the damages incurred due to the coronavirus pandemic and the travel restrictions imposed to limit the spread of the virus.

  • on 9 June 2021, the Commission approved a €170 million scheme to support the uncovered fixed costs of companies affected by the coronavirus outbreak and by the restrictive measures imposed by the government to limit the spread of the virus. Under the state aid Temporary Framework, the assistance, in the form of direct grants, is open to all sectors except the financial, agricultural, fishery and aquaculture ones.

  • on 18 March 2021, the Commission approved, under EU state aid rules, three Finnish measures with an overall budget of €350 million, to support Finavia airport operator in the context of the coronavirus outbreak. Finland requested a €249 million capital injection and a €33 million subordinated loan, both under the state aid Temporary Framework, and €68 million in compensation for damages suffered because of the pandemic.

  • on 15 March 2021, the Commission confirmed that €351.38 million of Finnish support in favour of Finnair were in line with EU state aid rules. The measure, in the form of a loan, aims to compensate the airline for the damage suffered due to the coronavirus outbreak, on the background of travel restrictions imposed to limit the spread of the coronavirus.

  • on 1 March 2021, a €1 million Finnish scheme to support the fishery and aquaculture sector affected by the coronavirus outbreak. Under the state aid Temporary Framework, the public support, in the form of direct grants, aims to help the beneficiaries address liquidity needs and continue their activities during and after the coronavirus outbreak.

  • on 10 June 2020, under EU State aid rules, Finnish plans to contribute to the recapitalisation of Finnair through the subscription of new shares by the State in the rights issue launched by Finnair on 10 June 2020 in the context of the coronavirus outbreak.Finnair plays a major role in the Finnish economy, notably because it ensures domestic and international air services for Finland that are essential to the recovery of the national economy after the coronavirus outbreak. With 55.8% of the shares, Finland is Finnair's largest shareholder. The total capital increase is expected to be of approximately €500 million. The State is expected to receive rights to subscribe for new shares in an amount of €286 million, corresponding to its current shareholding level. The remaining shares will be offered on the market, subject to pre-emptive subscription rights of other existing shareholders.  The Commission found that the Finnish measure is in line with Article 107(3)(b) TFEU, which enables the Commission to approve State aid measures to remedy a serious disturbance to the economy of a Member State, and the general principles set out in the Temporary Framework.

  • on 29 May 2020, under EU State aid rules, a €120 million Finnish scheme that compensates companies operating restaurants, bars or cafes for the loss of revenue caused by the coronavirus outbreak and the national measures taken to limit the spread of the virus. Under the scheme, these companies will be entitled to compensation for the damages suffered in the form of direct grants covering 15% of their loss of revenue up to €1 million, and 5% for the part of their losses above €1 million, during the two-month period of lockdown in Finland. Aid may be granted up to a maximum amount of €500 000 per beneficiary. To ensure that no beneficiary is overcompensated, a control mechanism guarantees that the Finnish authorities recover any compensation exceeding the net losses of each beneficiary. The Commission assessed the measure under Article 107(2)(b)of the Treaty on the Functioning of the European Union, which enables the Commission to approve State aid measures granted by Member States to compensate specific companies or specific sectors for the damages directly caused by exceptional occurrences.

  • on 28 May 2020, a €600 million Finnish aid scheme to support the maritime companies in the context of the coronavirus outbreak. Under the scheme, the public support will take the form of State guarantees on working capital loans. The measure will be directly operated by the Finnish State Treasury. The scheme will be accessible to those maritime operators that are essential for maintaining the security of supply to Finland during the coronavirus outbreak. The aim of the measure is to help these companies cover their immediate working capital needs, maintain employment and have sufficient liquidity to continue their activities, which are vital to safeguard maritime cargo traffic and ensure essential supplies to Finland.

  • on 19 May 2020, a Finnish aid measure consisting of a State guarantee on a €600 million loan to Finnair to mitigate the economic impact of the coronavirus outbreak on the company. Finnair is a major network airline operating in Finland. Since the start of the coronavirus outbreak, as a result of the imposition of travel restrictions introduced by Finland and by many destination countries to limit the spread of the coronavirus, the company has suffered a significant reduction of its services resulting in a serious liquidity shortage. The support measure notified by Finland will take the form of a State guarantee covering 90% of a €600 million loan granted to Finnair by a pension fund. Finnair requires the State-backed guarantee to obtain vital liquidity to face this difficult period, before an expected recovery in sales once the restrictions are lifted progressively. Finland has also demonstrated that all other potential means to obtain liquidity on the markets have already been explored and exhausted.

  • on 6 May 2020, under the Temporary Framework, two Finnish schemes, with a total budget of €40 million, to support the primary agricultural production and fishery and aquaculture sectors in the context of the coronavirus outbreak. The support takes the form of direct grants and the schemes have an estimated total budget of €40 million (€30 million for agriculture and €10 million for fishery and aquaculture). The aim of the schemes is to help these businesses cope with the liquidity problems brought about by the coronavirus outbreak by covering part of their salary, rent and other vital operating expenses necessary to continue their activities.

  • on 24 April 2020, a Finnish scheme to support the Finnish economy in the context of the coronavirus outbreak. The Finnish public support will take the form of direct grants, equity injections, selective tax advantages and advance payments, as well as repayable advances, State guarantees and loans. The scheme aims at enhancing access to liquidity by those companies, which are most severely affected by the economic impact of the coronavirus outbreak, thus allowing them to continue their activities, start investments and maintain employment. The scheme will be open to all companies, with the exception of companies active in the primary agricultural, fishery and aquaculture sectors, and will apply to the whole territory of Finland.

  • on 21 April 2020, a Finnish aid scheme to support the Finnish economy in the context of the coronavirus outbreak. The scheme will support companies affected by the coronavirus outbreak, and will be managed and implemented by the State-owned Specialised Financing Company, Finnvera Plc. Under the scheme, the public support will take the form of State guarantees on new investment and working capital loans; or Subsidised investment and working capital loans with favourable interest rates. The scheme aims at providing liquidity to companies affected by the coronavirus outbreak, thus enabling them to continue their activities, start investments and maintain employment.