EU Framework for State Aid

The EU Framework for State Aid is rules that ensure government financial support to companies doesn't unfairly distort competition within the European Union. It sets conditions under which governments can help businesses—such as grants, tax breaks, or subsidies—without giving them an unfair advantage over others. If aid risks distorting competition or harming the internal market, it usually needs approval from the European Commission. This framework aims to promote fair competition, innovation, and economic growth while allowing governments some flexibility to support industries when appropriate.