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:
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On 18 March 2021, the Commission approved a €1 million Luxembourgish scheme to support small and medium-sized enterprises active in the pig production sector in the context of the coronavirus outbreak. Under the state aid Temporary Framework, the public support, in the form of direct grants, aims to help the beneficiaries address the loss of income suffered due to the coronavirus outbreak.
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On 18 December, the Commission approved a €500,000 Luxembourg scheme to support the seed sector in the context of the coronavirus outbreak. Under the state aid Temporary Framework, the public support, in the form of direct grants, is open to enterprises active in the processing and commercialisation of seed. The scheme aims at addressing the liquidity needs of the beneficiaries, thus helping them continue their activities during and after the coronavirus outbreak.
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on 15 December, a €124,500 Luxembourg scheme to support winegrowers in the context of the coronavirus outbreak. Under the state aid Temporary Framework, the public support, in the form of direct grants, aims at addressing the liquidity needs of the beneficiaries and helping them continue their activities during and after the coronavirus outbreak.
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on 9 December, a €1.5 million Luxembourg scheme to support meat producers in the context of the coronavirus outbreak. Under the state aid Temporary Framework, the public support, in the form of direct grants, aims to address the liquidity needs of the beneficiaries and help them continue their activities during and after the coronavirus outbreak.
- on 25 November, a €60 million Luxembourg aid scheme to support certain companies affected by the coronavirus outbreak. Under the state aid Temporary Framework, the public support, in the form of direct grants, was earmarked for addressing the liquidity needs of the beneficiaries and help them continue their activities during and after the outbreak. Targeted sectors include hotel and camping, restaurant and catering services, travel and event organisation services, retail trade or vocational training. The scheme was subsequently amended in December 2020 and March 2021, respectively, with modifications related to its extension, budgetary increases and beneficiary categories.
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on 24 November, a Luxembourg state aid scheme of around €120 million, to support the uncovered costs of companies affected by the coronavirus outbreak. Under the state aid Temporary Framework, the support, in the form of direct grants, was earmarked to provide economic assistance to businesses, including those operating in the hospitality, accommodation and entertainment sectors, to help with the liquidity shortages faced due to the coronavirus outbreak.
- on 1 July 2020, under EU State aid rules, a €145 million Luxembourgish reinsurance scheme to support the trade credit insurance market in the context of the coronavirus outbreak. Trade credit insurance protects companies supplying goods and services against the risk of non-payment by their clients. Given the economic impact of the coronavirus outbreak, the risk of insurers not being willing to maintain their insurance coverage has become higher. The Luxembourgish reinsurance scheme, with a total budget of €145 million, ensures that trade credit insurance continues to be available to all companies, avoiding the need for buyers of goods or services to pay in advance, therefore reducing their immediate liquidity needs. The Commission assessed the measure under Article 107(3)(b) of the Treaty on the Functioning of the European Union (TFEU), which enables the Commission to approve State aid measures implemented by Member States to remedy a serious disturbance in their economy.
- on 19 June 2020, a Luxembourg scheme of €7 million, to support audio-visual production companies in the context of the coronavirus pandemic. The public support will take the form of direct subsidies of a maximum amount of €10,000 per company, and of loans up to a maximum amount of €250,000 per company. The aim of the scheme is to provide financial support to audio-visual production companies which have seen a fall in turnover as a result of the coronavirus pandemic. This support will help the companies concerned to relaunch production projects in the context of the progressive easing of measures put in place by the Luxembourgish government to limit the spread of the virus.
- on 2 June 2020, two Luxemburgish State aid schemes, for a total estimated amount of €260 million, to support certain companies severely affected by the coronavirus outbreak. In the framework of both schemes, the aid will be given in the form of direct grants. The first scheme, with an estimated budget of €200 million, will be open to businesses of all sizes operating in certain sectors defined by Luxembourg (including hotels, restaurants, and travel and event organisers). These businesses will be able to benefit from the scheme if they have had a fall in turnover of at least 25% due to the coronavirus outbreak, during the first half of 2020 and if this situation is expected to continue during the second half of 2020. The second scheme, with an estimated budget of €60 million, will be open to micro and SMEs in the retail sector, or offering certain categories of services, as defined by Luxembourg (such as hairdressers, opticians, stylists, dry-cleaning and laundry services). These businesses can benefit if they have had to suspend their activities or have registered a fall in turnover of at least 50% between March and May 2020 due to the pandemic. The aim of these State aid schemes it to respond to companies’ sudden need for liquidity as a result of the coronavirus outbreak, and to help them continue their activities.
- on 25 May 2020, a €30 million Luxembourg aid scheme to support investments by companies affected by the coronavirus outbreak. The scheme will be accessible to companies of all sizes active in all sectors, with some exceptions defined by Luxembourg, namely companies active in the financial sector, in the fishery and aquaculture sectors and in the primary production of agricultural products. The objective of the scheme is to enable companies experiencing a decrease in liquidity due to the coronavirus outbreak to undertake investments that they would not otherwise undertake due to the current crisis.
- on 27 March another Luxembourg State aid scheme to support the Luxembourgish economy in the context of the coronavirus outbreak. The scheme was approved under the State aid Temporary Framework to support the economy in the context of the COVID-19 outbreak adopted by the Commission on 19 March 2020.
- on 24 March 2020, Luxembourg's scheme to support companies and liberal professions affected by the economic impact of the coronavirus outbreak. The support takes the form of a repayable advance to allow beneficiaries to cover their operating costs in the difficult situation caused by the coronavirus outbreak.
- on 8 April 2020, a Luxembourg aid scheme to support coronavirus related research and development (R&D) and investments in the production of products relevant to the coronavirus outbreak. The Luxembourg support scheme is open to small, medium-sized and large enterprises of all sectors. Aid will be granted in the form of direct grants to enhance and accelerate research and the production of products directly relevant to coronavirus. These include medicinal products including vaccines, hospital and medical equipment including ventilators, protective clothing and equipment as well as diagnostic tools. The R&D part of the scheme covers fundamental research, industrial research and experimental development projects. The investment part of the scheme will cover 80% of the eligible costs that companies have to bear to create production capacities to manufacture coronavirus relevant products.