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EU OKs €16.3M Swedish Loan To Support Air Traffic Control Services

 |  March 11, 2021

The European Commission has approved a SEK 164 million (US$19.38 million) Swedish scheme to support air traffic control services affected by the coronavirus outbreak. The scheme was approved under the State aid Temporary Framework.

In the context of the coronavirus outbreak, Sweden introduced restrictions to avoid the spread of the virus, which has caused dramatic drops in air travel. Specifically in 2020, the number of air passengers in Sweden was 75% lower than in 2019. The aim of the scheme is to cover the losses for the years 2020 and 2021 incurred by small and medium sized companies active in air traffic management, which have suffered significant losses in revenues due to these drops in the number of flights performed.

Under the scheme, the public support will take the form of loans provided by the Swedish National Transport Administration (Trafikverket) with subsidized interest rates. The Commission found that the Swedish scheme is in line with the conditions set out in the Temporary Framework.

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