The European Commission announced on Tuesday that it will extend its relaxation of EU state aid rules until mid-2021 as part of efforts to help businesses cope with the coronavirus pandemic.

Earlier this year, the Commission, the EU’s executive arm, eased until December 31 its tough state aid rules in the hope it would help reduce the pandemic’s disastrous impact on the economy.

“We prolong...(the measure) to cater for the continued needs of businesses, while protecting the EU’s Single Market,” the commission said in a press release.

“We also introduce a new measure to enable Member States to support companies facing significant turnover losses.”

Europe has seen more than 241,000 deaths from 6.5 million infections during the pandemic that has battered the global economy with strict lockdowns meant to curb the virus spread.