EC Enhances Austrian Liquidity Assistance Scheme to Ease COVID Impact
EC is amending a previously approved Austrian liquidity assistance scheme to support Austrian enterprises affected by pandemic, in line with the State Aid Temporary Framework. As per the modified scheme, micro or small enterprises can now benefit from the measure even if they were considered in difficulty on December 31, 2019, under certain conditions. EC also increased the total budget of the scheme from EUR 15 billion to EUR 19 billion.
EC concluded that the scheme, as modified, remains necessary, appropriate, and proportionate to remedy a serious disturbance in the economy of a member state, in line with Article 107(3)(b) of Treaty on the Functioning of EU and the conditions set out in the Temporary Framework. On this basis, EC has approved the measure under EU State Aid rules. The scheme, which was originally approved on April 08, 2020, provides a temporary limited amount of aid in the form of direct grants, guarantees on loans and repayable advances, and guarantees on loans and subsidized interest rates on loans. The aim of the original scheme was to enable enterprises affected by the COVID-19 pandemic to cover their short-term liabilities, despite the current loss of revenues caused by the pandemic.
Related Link: News Release
Keywords: Europe EU Austria Banking COVID-19 Credit Risk State Aid Temporary Framework Loan Guarantee EC
Featured Experts

Victor Calanog, Ph.D.
Leading economist; commercial real estate; performance forecasting, econometric infrastructure; data modeling; credit risk modeling; portfolio assessment; custom commercial real estate analysis; thought leader.
Previous Article
ECB Allows Temporary Relief in Leverage Ratio Amid COVID-19 PandemicRelated Articles
ESAs Publish Reporting Templates for Financial Conglomerates
ESAs published the final draft implementing technical standards on reporting of intra-group transactions and risk concentration of financial conglomerates subject to the supplementary supervision in EU.
EBA Publishes Report on Asset Encumbrance of Banks in EU
EBA published the annual report on asset encumbrance of banks in EU.
US Agencies Publish Updates for Call Reports, FFIEC 101, and FR Y-9C
FED updated the reporting form and instructions for the FR Y-9C report on consolidated financial statements for holding companies.
EBA Proposes Guidelines for Establishing Intermediate Parent Entities
EBA issued a consultation paper on the guidelines on monitoring of the threshold and other procedural aspects of the establishment of intermediate EU parent undertakings, or IPUs, as laid down in the Capital Requirements Directive.
EC Adopts Financial Reporting Changes Arising from Benchmark Reforms
EC published Regulation 2021/25 that addresses amendments related to the financial reporting consequences of replacement of the existing interest rate benchmarks with alternative reference rates.
BIS Bulletin Examines Key Elements of Policy Response to Cyber Risk
BIS published a bulletin, or a note, that examines the cyber threat landscape in the context of the pandemic and discusses policies to reduce risks to financial stability.
HMT Updates List of Post-Brexit Equivalence Decisions in UK
HM Treasury, also known as HMT, has updated the table containing the list of the equivalence decisions that came into effect in UK at the end of the transition period of its withdrawal from EU.
EBA Issues Erratum for Technical Package on Reporting Framework 3.0
EBA published an erratum for technical package on phase 1 of the reporting framework 3.0.
APRA Publishes FAQ on Measurement of Credit Risk Weighted Assets
APRA updated a frequently asked question (FAQ), for authorized deposit-taking institutions, on the measurement of credit risk weighted assets.
ECB Letter Sets Out Strategies to Address Issue of Nonperforming Loans
ECB published a letter from Andrea Enria, the Chair of the Supervisory Board of ECB, answering questions raised by the President of the Bundestag (the German federal parliament) on how ECB assesses the financial stability of the euro area in the context of the significant level of nonperforming loans.