EU allocated €1 million to strengthen Romanian airlines affected by COVID-19

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The European Union Commission has allocated €1 million of funds for Romanian airlines affected by COVID-19, starting with Arad Airport, which mainly serves Arad County.

Based on the press release issued by the Commission, the scheme was approved under the temporary framework of state aid and may not exceed the €2.3 million mark.

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In addition, the funds will be distributed in the form of direct grants up to €600,000 per company no later than June 30.

“The measure will be open to all interested airlines starting operations at Arad airport through an open and transparent procedure. The purpose of the measure is to support the activity of air operators and the region’s economic recovery in the context of the coronavirus pandemic,” the press release reads.

In addition, the authority has approved a €2.2 million fund for the Italian cruise ships sector, which is eligible for the fund, as the pandemic has hit hard the tourism industry. Like funds for Romanian airports, these will be allocated in grants. The aid amount per cruise ship will equal the total port fees that the beneficiary paid for docking in Italian ports between July 24 and December 31, 2021.

As per the Lithuanian scheme, the Commission will offer €4 million to support accommodation service providers and tour operators whose activity has been disrupted or weakened due to the COVID-19 pandemic. In order to be eligible for grants, accommodation service providers must have experienced a decrease in turnover of at least 40 per cent over 2021 compared to 2019.

The eligible beneficiaries will be able to receive an aid amount equal to half of the costs of their activity during the period between November 2021 and March 2022, which cannot exceed €50,000.

The same requirement applies to tour operators, which must prove they suffered a decline in turnover of 30 per cent or more. The maximum aid offered to them cannot exceed €30,000.

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