State aid: Commission approves a €2.6 million Czech scheme to support companies affected by coronavirus outbreak in the Moravia-Silesia region

The European Commission has approved a €2.6 million Czech scheme to support companies affected by the coronavirus outbreak. The scheme, set up by the Moravia-Silesia region, was approved under the State aid Temporary Framework adopted by the Commission on 19 March 2020, as amended on 3 April 2020 and 8 May 2020. The public support will take the form of direct grants. The scheme will be open to companies active in Moravia-Silesia and is composed of two separate measures that will provide support to (i) micro-enterprises in the manufacturing sector; and (ii) companies of all sizes that operate tourist attractions. The aim of both measures is to address the liquidity needs of companies affected by the coronavirus outbreak, thus helping to preserve the continuity of economic activity during and after the outbreak. The Commission found that the scheme notified by Czechia is in line with the conditions set out in the Temporary Framework. In particular, the support will not exceed €800,000 per company. The Commission therefore concluded that the Czech measure isnecessary, 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. On this basis, the Commission approved the measures under EU State aid rules. More information on the Temporary Framework and other actions taken by the Commission to address the economic impact of the coronavirus pandemic can be found here. The non-confidential version of the decision will be made available under the case number SA.57506 in the State aid register on the Commission’s competition website once any confidentiality issues have been resolved.