EC approves public aid for Polish national airline
The European Commission, on Tuesday, greenlighted an EUR 650 million (around PLN 2.9 billion) public aid tranche for Poland's flag carrier LOT Polish Airlines as it struggles with the pandemic crisis.
According to LOT management, the airline may lose its financial liquidity by the end of the year.
"The state aid measures consist of a EUR 400 million (approximately PLN 1.8 billion) subsidised loan and a capital injection of around EUR 250 million.(approximately PLN 1.1 billion)," reads a press release from the European Commission.
Margrethe Vestager, the European commissioner responsible for competition, said LOT played a key role in the Polish economy, adding that the EC's decision "ensures that the State is sufficiently remunerated for the risk taxpayers assume, and that the support comes with strings attached, including a dividend ban as well as further measures to limit distortions of competition."
Later on Tuesday Polish Deputy Prime Minister Jarosław Gowin thanked Vestager for allowing public aid for LOT.
"My thanks to Commissioner Vestager for the prompt and efficient processing of public aid for LOT," Gowin tweeted on Tuesday.