FINANCIAL AND REAL ECONOMY CRISIS AND STATE AID The case of Lithuania Jurgita Ratkeviciute Head of State Aid Division Competition Council. Summary. Lithuanian economy and the impact of the global crisis EU structural assistance (existing State aid): Tackling the crisis
The case of Lithuania
Head of State Aid Division
Main measures in force (for the period 2007-2013) most likely to become the biggest incentives for the recovery:
Expected amount: ca. EUR 1,5 billion
(loans, guarantees, interest subsidies: SMEs)
(risk capital: SMEs)
(Section 4.2.2. (EUR 500 000), guarantees: large companies)
Budget: ca. EUR 430 million.
Credit institutions are expected to provide further ca. EUR 170 million as co-financing and thereby, sharing the risk, ensure that appropriate procedures for the risk assessment will be followed.
Resources will be allocated to financial intermediaries according to procedures of EIF.
State aid instruments:
Business Angels: considered not to constitute State aid
Resources will be allocated to financial intermediaries following a tender procedure.
Resources will be used to finance SMEs, with the only exception of individual guarantees where large companies could also be financed (ca. EUR 20 million).
State aid forms:
Both investment and working capital loans may be granted or guaranteed.
State Aid instruments:
Thank you for your attention finance