Europe ramps up coronavirus support for ailing firms

Sun Online Desk

14th March, 2020 12:19:08 printer

Europe ramps up coronavirus support for ailing firms


European authorities are increasing efforts to try to stave off the economic effects of coronavirus.

The European Union (EU) will put a package of measures in place including a €37bn euro (£33bn) investment initiative.

And German finance minister Olaf Scholz said his country could part nationalise firms to tackle the crisis, reports BBC.

Norway suspended some airline taxes as global aviation body IATA said carriers could fold over the next few months.

Markets have become increasingly volatile as the impact of the spread of the coronavirus becomes more pronounced. Global stocks soared on Friday, after record falls on Thursday.

Concerns over the economic effects of the pandemic led to a number of actions by European authorities on Friday.

Bloc response

European Commission President Ursula von der Leyen said the EU response package will include giving member states flexibility on budget deficits and state aid.

The EU will also guarantee €8bn in loans to 100,000 firms to support the corporate sector, she said.