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Factsheet for measure AT-2020-36/1240 – measures in Austria

Guarantees for bank loans - Vienna

Garantien für Bankkredite - Wien

Country Austria , applies regionally

Time period Open ended, started on 01 September 2020
Context COVID-19, Green Transition, Digital Transformation
Type Other initiatives or policies
Category Supporting businesses to stay afloat
– Access to finance
Author Bernadette Allinger (Forba) and Eurofound
Measure added 05 October 2020 (updated 28 April 2021)

Background information

The effects of the COVID-19 pandemic on the economy and workforce in Vienna will be clearly felt for some time to come. Therefore, already at the beginning of the crisis, the City of Vienna and the Vienna unit of the Economic Chamber presented a first aid package for Viennese SMEs; in April 2020 the aid was doubled.

In September, the City of Vienna decided on further measures. Cornerstones of the 3rd Corona package, which is worth more than €50 million, are the Vienna labour market, gastronomy, tourism and night economy.

Of these earmarked €50 million, €14 million will be allocated to the Vienna Loan Guarantee and Holding Bank's (WKBG) new growth campaign for digitisation, climate protection and location revitalisation. €7 million will come from the City of Vienna and another €7 million from the Vienna Economic Chamber. As a development bank, the WKBG will act as a deficiency guarantee for up to 70% of the investment costs to the financing bank. In total, this means a liability for loans of up to €20 million.

Content of measure

The financing volume of the 'Growth Campaign NEW' lies at €10,000 to €200,000. Three different actions are differentiated, the digitisation action, the climate action and the location revival.

Details on the digitisation action are as follows:

Investments in hardware and software, external advice, personnel, etc., e.g.

  • Creation and setup of a homepage/web site
  • Conception and implementation of online market and marketing activities
  • Establishment of an online shop/web shop
  • Digitisation of previously analog products and processes
  • Development of customer databases/CRM tools/cash register and reservation systems

Details on the climate action are as follows:

Investments in plant and working capital with the effect of CO2 reduction, e.g.

  • Acquisition (possibly conversion) of means of transport (vehicles up to 3.5t) with / to 'alternative drive'
  • Acquisition of new machines and machine systems
  • (Modernisation / new) investments / HVAC measures in operation
  • New and replacement purchases that improve the previous CO2 balance

Details on the location revival are as follows:

Investments in new or existing business premises and businesses:

  • Purchase/replacement/takeover investments (material and immaterial, ie goodwill ...)
  • Takeover of empty shops and businesses
  • Modernisation/expansion/conversion/revitalisation at the site
  • Construction investments and investments in office equipment
  • Displays and facade redesign

For all three "actions", the following conditions apply:

  • Credit volume: from €10,000 to €200,000
  • Extent of liability 70%, min. €7,000, max. €140,000
  • Duration: max. 10 years, monthly repayment
  • Costs: guarantee commission: 1.25% pa of the guaranteed loan and processing fee: 1% one-time

Use of measure

By the end of July 2020, some 194 applications have been approved or liability agreements finalised. In total, a credit volume of around €17.5 million has been collateralised with an average credit of €92,000. Further applications are being processed.

Target groups

Workers Businesses Citizens
Does not apply to workers Applies to all businesses Does not apply to citizens

Actors and funding

Actors Funding
Employers' organisations
Local / regional government
Employers organisation
Regional funds

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role No involvement Agreed (outcome) incl. social partner initiative
Form Not applicable Direct consultation outside a formal body

Social partners' role in the implementation, monitoring and assessment phase:

  • Only employers' organisations
  • Main level of involvement: Regional or local level


The Vienna Economic Chamber designed, initiated and finances this measure together with the City of Vienna.

Views and reactions

The regional Vienna Economic Chamber was involved in the design and financing of the measure, thus it is supportive. No information on the unions' views/reactions is available.



Eurofound (2020), Guarantees for bank loans - Vienna, measure AT-2020-36/1240 (measures in Austria), EU PolicyWatch, Dublin,


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Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.