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

The European Commission approved under EC Treaty state aid rules an Irish scheme intended to stabilise the financial markets by providing guarantees on deposits and debt to eligible banks active on the Irish market. After intensive contacts with the Commission, the Irish authorities submitted the finalised scheme on 12th October, addressing issues raised in the discussions. The Commission found the revised scheme to be compatible with EU state aid rules, because it was an appropriate means to remedy a serious disturbance in the Irish economy (Article 87.3.b of the EC Treaty), while avoiding unnecessary distortions of competition. In particular, it now provides for non-discriminatory access to banks with systemic relevance for the Irish economy, regardless of their origin, fair remuneration of the guarantee, is limited in time and contains appropriate safeguards to avoid abuses. The Irish measures conform to the guidance just issued by the Commission.

European Commission: MEMO/08/615: State aid: Commission welcomes revised Irish guarantee scheme http://europa.eu/rapid/pressReleasesAction.do?reference=MEMO/08/615&format=HTML&aged=0&language=EN&guiLanguage=en

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