The European Commission has approved a Croatian program in the amount of 437 million euros to support companies affected by the Russian invasion of Ukraine.

The program was approved on the basis of the temporary framework for state aid in crisis situations adopted by the Commission on March 23, 2022, with amendments from July 20, 2022. The aid program includes a) direct grants covering guarantee premiums and b) guarantees covering part of new loans . The purpose of the program is to eliminate the lack of liquidity faced by companies in Croatia due to serious disruptions in the economy caused by the Russian invasion of Ukraine.

The commission determined that the Croatian program is in accordance with the conditions established in the temporary framework for crisis situations. Specifically, in the case of direct grants covering guarantee premiums, the support does not exceed EUR 62,000 per enterprise from the agriculture sector, EUR 75,000 per enterprise from the fisheries and aquaculture sector, and EUR 500,000 per enterprise in other sectors. For loan guarantees, the state can guarantee up to 80% of the loan principal with a maximum maturity of eight years and guarantee premiums in accordance with the minimum levels established in the temporary framework for crisis situations. For both of these sub-measures, the support will be granted no later than December 31, 2022.

The Commission approved the program in accordance with EU rules on state aid. She also concluded that the program is necessary, appropriate and proportionate to eliminate serious disruptions in the economy of a member state of the Union, in accordance with the Treaty on the Functioning of the European Union and the aforementioned temporary framework for crisis situations. Once the question of any remaining confidential information has been resolved, the decision approving this aid program will be available under number SA.103558 in the state aid register of the Commission for Market Competition.