ANNOUNCEMENT 23 Jan 2009In January 2009, the government of Luxembourg announced a change in its trade finance instruments.
NUMBER OF INTERVENTIONS
the letter from the EC to Luxembourg - Brussels, 20.4.2009 C(2009) 2993 final. Available from : http://ec.europa.eu/competition/state_aid/cases/229603/229603_1002689_1_1.pdf
the letter from the EC to Luxembourg - Brussels, 27.5.2011 C(2011) 3707 final 'french'. Available from : < http://ec.europa.eu/competition/elojade/isef/case_details.cfm?proc_code=3_SA_32846 >
The Luxembourg authorities contacted the European Commission on 23 January 2009 regarding their intention to introduce a temporary insurance cover mechanism, which complements basic export credit insurance taken out with private insurance companies. The budget of the measure will not exceed EUR 25 million. - State aid N50/2009.
The export credit insurance market in Luxembourg is dominated by the companies Atradius, Coface, Ducroire SA and Euler-Hermes.
According to the Luxembourg authorities the global financial crisis has led to private credit insurance companies facing requests for higher compensation than in the past forcing them to adopt a more cautious approach when granting credit. According to the Luxembourg authorities the failure of the Luxembourg export credit insurance market has had a major effect on the situation.
Prolongation of Short-term export credit insurance - SA.32846
On 9 April 2011 the Luxembourg authorities contacted the European Commission regarding their intention to prolong the existing scheme until 31 December 2011.
The Commission has decided to consider that the notified measure is compatible with the internal market up until 31 December 2011.
A state measure in the GTA database is assessed solely in terms of theextent to which its implementation affects the extent of discriminationagainst foreign commercial interests. On this metric, the state aidproposed here is discriminatory.