The Slovenia Times

New State Aid For Revoz


Under the terms of the agreement, Revoz will hire at least 51 new workers for production of the new Twingo and the Smart four-seater.

If the demand is high enough to necessitate a two-shift operation, Revoz needs to hire 102 workers to comply with the deal, the minister said.

Revoz chairman Patrice Haettel said the subsidy would not only create new jobs but also preserve existing jobs. The aid will allow the company to wrap up the project.

The government had originally earmarked EUR 45.5m for Revoz, but it decided to halve it after the European Commission launched an inquiry into compliance with EU regulations on state aid.

The aid is earmarked for the EUR 450m Edison project, Revoz's assembly of the latest generation of the Twingo and Smart in conjunction with German car maker Daimler.

The payments will be spread out in instalments over four years, through 2016.

Slovenia's inward stock of foreign direct investments (FDI) has hovered around EUR 11.5bn for the past several years, equivalent to about 30% of GDP.

Minister Stepišnik said the goal was to raise the figure to 100% of GDP.

"These investments are key to creating jobs. They bring new know-how and new technology, which is driving growth".

However, the Economy Ministry has had just EUR 15.9m set aside for the promotion of FDI for this year, with the figure set to drop to EUR 9.2m in 2014.


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