Corona support framework for Austrian companies expanded

Green light from the EU to the federal government for the desired increase in flat-rate subsidies from 800,000 to 1.8 million euros and for an increase in fixed cost subsidies from 3 to 10 million euros.

(red/czaak) The European Commission has adopted the 5th amendment to the “Temporary Framework” for state aid to support the economy in the COVID-19 crisis. The Temporary Framework has been the central legal basis for crisis aid from the member states since mid-March 2020. With the current adoption, the period of validity of the framework, which was initially extended to the end of June 2021, is now extended to December 31, 2021.

In terms of content, the proposals of the Ministry of Economics and Finance have been fully taken into account in the current amendment by the Commission: The upper limit for aid has more than doubled from EUR 800,000 to EUR 1.8 million.
“This means that we can help our companies even more extensively than before,” says Margarete Schramböck, BMin for Business and Digitization.

Financing of projects “out of the crisis”
“The additional scope enables companies to support the financing of projects“ out of the crisis ”after the initially necessary strengthening of liquidity. At the same time, with this increase, losses in sales that were caused by the officially ordered business closings can be covered to an even greater extent than before, ”said the Ministry of Economic Affairs in a broadcast.

Particularly to be welcomed is “the increase in the upper limit for fixed cost subsidies from three to ten million euros.” The new upper limit ensures that this funding instrument can also be used effectively in 2021 and that large companies can also be included for which the corresponding funding opportunities were exhausted.

red / czaak, Economy edition web article, 02.02.2021