Insider
The European Commission has approved a 2m-euro Cypriot program to support travel agents affected by the coronavirus pandemic. The measure was adopted on the basis of the provisional framework for State aid. Under the program, state aid will take the form of direct grants.
The measure is addressed to travel agents who are active in the Republic of Cyprus and have concluded contracts with airlines that operate flights to Cyprus through the airports of Larnaca and Paphos. The purpose of the program is to provide incentives for inbound tourism, while at the same time indirectly benefiting many related businesses, such as hotels, restaurants, the food industry, as well as cultural and sporting events.
The Commission found that the Cypriot measure complied with the conditions set by the provisional framework. In particular, the aid 1) will not exceed EUR 2.3 million per beneficiary; and 2) will be granted by 30 April 2022 at the latest. The Commission has concluded that the measure is necessary, appropriate and proportionate to remove serious in accordance with Article 107 (3) (b) TFEU and the conditions laid down in the provisional framework. On this basis, the Commission adopted the measure under EU State Aid Rules. More information on the interim framework and other measures taken by the Commission to address the economic impact of the coronavirus pandemic is available here. The non-confidential version of the decision will be published under case number SA.101278 in the State Aid Register on the Competition Commission's website once any confidentiality issues have been resolved.
