Featured Product

    EC Approves Belgian Guarantee Scheme to Support SMEs Affected by COVID

    July 15, 2020

    EC approved a Belgian federal loan guarantee scheme to support lending to small and medium-size enterprises (SMEs) affected by COVID outbreak. The support will take the form of state guarantees on new loans provided by banks and will complement the existing guarantee scheme approved by the EC on April 11, 2020. To fund the measure, Belgium has reallocated EUR 10 billion of the EUR 50 billion envelope earmarked for the previously approved guarantee scheme. The scheme was approved under the State aid Temporary Framework.

    EC found that the Belgian measure is in line with the conditions set out in the Temporary Framework, as it relates to new loans with a maximum maturity of three years, will grant loans before the end of 2020, provides for appropriate remuneration of the guarantees, and contains adequate safeguards to ensure that the aid is channeled effectively by the banks to the beneficiaries in need. With the exception of micro and small companies, undertakings that were already in difficulty on December 31, 2020 are not eligible for aid under the scheme. EC concluded that the measure is necessary, appropriate, and proportionate to remedy a serious disturbance in the economy of a member state, in line with Article 107(3)(b) the Treaty on the Functioning of EU and the conditions set out in the Temporary Framework. On this basis, EC approved the measure under EU State aid rules.

     

    Related Links

    Keywords: Europe, EU, Belgium, Banking, COVID-19, SME, Temporary Framework, Credit Risk, State Aid Rules, Loan Guarantee, EC

    Featured Experts
    Related Articles
    News

    ECB Amends Guideline on Temporary Collateral Easing Measures

    ECB published Guideline 2021/975, which amends Guideline ECB/2014/31, on the additional temporary measures relating to Eurosystem refinancing operations and eligibility of collateral.

    June 17, 2021 WebPage Regulatory News
    News

    EIOPA Releases Report on Artificial Intelligence Governance Principles

    EIOPA published a report, from the Consultative Expert Group on Digital Ethics, that sets out artificial intelligence governance principles for an ethical and trustworthy artificial intelligence in the insurance sector in EU.

    June 17, 2021 WebPage Regulatory News
    News

    HKMA to Increase Focus on Suptech and Regtech Cloud Adoption

    HKMA published the seventh and final issue of the Regtech Watch series, which outlines the three-year roadmap of HKMA to integrate supervisory technology, or suptech, into its processes.

    June 17, 2021 WebPage Regulatory News
    News

    EC Consults on Improving Transparency in Secondary Markets for NPLs

    EC launched a targeted consultation to improve transparency and efficiency in the secondary markets for nonperforming loans (NPLs).

    June 16, 2021 WebPage Regulatory News
    News

    BIS and Nordic Central Banks Launch Innovation Hub in Stockholm

    BIS, Danmarks Nationalbank, Central Bank of Iceland, Norges Bank, and Sveriges Riksbank launched an Innovation Hub in Stockholm, making this the fifth BIS Innovation Hub Center to be opened in the past two years.

    June 16, 2021 WebPage Regulatory News
    News

    FDIC Tech Sprint Aims to Explore Technologies to Reach Unbanked

    FDITECH, the technology lab of FDIC, announced a tech sprint that is designed to explore new technologies and techniques that would help expand the capabilities of community banks to meet the needs of unbanked individuals and households.

    June 16, 2021 WebPage Regulatory News
    News

    EC Releases Sustainable Finance Taxonomy Compass

    EC released the EU Taxonomy Compass, which visually represents the contents of the EU Taxonomy starting with the EU Taxonomy Climate Delegated Act.

    June 16, 2021 WebPage Regulatory News
    News

    FDIC Proposes Amendments to Real Estate Lending Standards

    FDIC is seeking comments on a rule to amend the interagency guidelines for real estate lending policies—also known as the Real Estate Lending Standards.

    June 15, 2021 WebPage Regulatory News
    News

    EIOPA to Consider Liquidity Risk in Stress Test for 2021

    EIOPA published its annual report, which sets out the work done in 2020 and indicates the planned work areas for the coming months.

    June 15, 2021 WebPage Regulatory News
    News

    ESRB Paper Discusses Measurement of Impact of Bank Failure via Lending

    The ESRB paper that presents an analytical framework that assesses and quantifies the potential impact of a bank failure on the real economy through the lending function.

    June 15, 2021 WebPage Regulatory News
    RESULTS 1 - 10 OF 7116