The European Commission has authorised, under EU state aid rules, a six month prolongation of a guarantee scheme on debt instruments issued by credit institutions in Spain, until 30 June 2013.
The original scheme was approved in December 2008 and extended in June 2009, December 2009, June 2010, November 2010 and June 2011. It was reintroduced in February 2012 and extended in June 2012.
The Commission found the extension of the measure until 30 June 2013 to be in line with its guidance on support measures for banks during the financial crisis (see IP/11/1488). In particular, the extended measure is well targeted, proportionate and limited in time and scope. The Commission has, therefore, concluded that it represents an appropriate means of remedying a serious disturbance in the Spanish economy and as a such, is compatible with the internal market pursuant to Article 107(3)(b) of the Treaty on the Functioning of the European Union (TFEU).
During the application of the crisis rules for state aid to banks, the Commission has been authorising guarantee schemes on banks’ liabilities for periods of six months in order to be able to monitor developments and adjust conditions accordingly.
Source: EXME 13 / 06.02
© European Commission
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