A PYMNTS Company

EC OKs €11.7M Aid To Croatia Airlines For COVID-19 Loses

 |  December 1, 2020

The European Commission has found a Croatian grant of €11.7 million (US$14.1 million) to the State-owned airline Croatia Airlines to be in line with EU State aid rules. 

The measure aims at compensating the airline for the losses directly caused by the coronavirus outbreak and the travel restrictions introduced by Croatia and other destination countries to limit the spread of the coronavirus in the period between March 19, 2020, and June 30, 2020.

This has forced Croatia Airlines to cancel most of its scheduled flights, and resulted in major losses in turnover. The public support will take the form of a direct grant. 

The Commission found, in particular, that the Croatian measure will compensate damage that is directly linked to the coronavirus outbreak. An independent external audit firm will verify that the aid does not exceed the amount of damage suffered during the period between March 19, 2020, and June 30, 2020.

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.