Press Release: State aid: Commission approves Polish support scheme for financial institutions

The European Commission approved under EC Treaty state aid rules a Polish scheme intended to stabilise the financial system. The measure would guarantee short and medium term debt to encourage inter-bank lending and offer liquidity to financial institutions under strict conditions. The Commission found the measure to be in line with its Guidance Communication on state aid to overcome the current financial crisis. The package constitutes an adequate means to remedy a serious disturbance in the Polish economy while avoiding undue distortions of competition and is therefore compatible with Article 87.3.b. of the EC Treaty. In particular, the programme provides for non-discriminatory access for eligible financial institutions, is limited in time and scope and contains safeguards to minimise distortions of competition.