EU clears loan for Portugal's TAP, Finnair capital increase

The EC said Wednesday it had approved Portugal's plan for a rescue loan for Transportes Aereos Portugueses (TAP) and a partial state recapitalisation of Finnair after both airlines were hit by the COVID-19 pandemic. Rescue aid can be granted for a maximum of six months and in Portugal's case, the authorities have committed that TAP will reimburse the E1.2b loan or submit a restructuring plan in that time. "This 1.2 billion euros Portuguese rescue aid will help TAP Air Portugal face its liquidity needs and pave the way for its restructuring to ensure its long-term viability," Commission executive vice president Margrethe Vestager said.<br/>