Malta Enterprise has launched a scheme entitled 'Investment
Aid for COVID Products'. The aid supports undertakings to carry
out investment projects to increase or initiate production of
COVID-19 relevant products or to diversify existing production to
be able to produce such products.
The aid is mainly in the form of cash grant not exceeding 80% of the eligible costs related to COVID-19 related products that are completed within 6 months from the start of works. Eligible costs must be incurred after 1 February 2020 and must fall within the following categories:
- Tangible and intangible assets procured to develop, manufacture and provide COVID-19 relevant products.
- Wage costs of personnel engaged to design and develop tools, processes and solutions for the production and manufacturing of COVID-19 relevant products.
- Wage costs of personnel engaged to develop data collection and processing tools (including Artificial Intelligent solutions) supporting the medical profession and the general public in issues related to the COVID-19 pandemic.
- Costs incurred for trial runs of the new (or diversified) production facilities such as cost of materials required for trial runs of production facilities and cost of data sets acquired to test data processing and collection solutions.
The aid may be increased by an additional 15% if the project is
completed within 2 months for the aid being approved or the project
is carried out in collaboration with another undertaking
established in another Member State which is also receiving support
from that Member State.
Applications are open. The scheme is available till 31 December 2020.
Further details can be found in the scheme's Guidelines.
This measure has been approved by the European Commission on 12 May under the Temporary Framework for State aid measures to support the economy in the current COVID-19 outbreak, as amended to date.
Originally published by KPMG Malta, on June 2020
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