European Commission approves rescue aid for Croatian shipyard

The European Commission on Monday cleared rescue aid for Croatia's shipbuilder Uljanik in the northern Adriatic city of Pula.

"The European Commission has found Croatian plans to grant Uljanik shipyard a State guarantee for a €96 million loan are in line with EU State aid rules. The measure will allow the company to meet urgent liquidity needs while preparing a restructuring plan, whilst competition distortions are limited," a press release said.

The Croatian government authorised the Finance Ministry on January 11 to issue a state guarantee amounting to EUR 96 million in favour of the Croatian Postal Bank and/or other commercial banks in the country and abroad for a loan to rescue Uljanik. The guarantee was to become active upon approval by the European Commission.

 

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