The European Commission has given the green light, under state aid rules, to Maltese plans to invest up to €11.5 million to support the production of products relevant to COVID-19, including vaccines, ventilators and personal protective equipment.

The scheme will take the form of direct grants, repayable advances and tax advantages. It is open to all enterprises in all sectors capable of increasing production of coronavirus-relevant products or of diversifying existing production to be able to produce and manufacture such products.

Its aim is to enhance and accelerate the production of products directly relevant to the outbreak. These include medicinal products such as vaccines, hospital and medical equipment, including ventilators, and protective clothing and equipment.

The Commission found that the Maltese scheme is in line with the conditions set out in its state aid rules. In particular, the aid will cover a significant share of the investment costs necessary for the creation of new production facilities.

Investment projects will have to be completed within six months after the date of granting the aid.

The Commission concluded that the Maltese measure is necessary, appropriate and proportionate to fight the health crisis and contribute to common European production needs in the current crisis.