The €475 million bailout of Air Europa: context, controversies, and government decisions
Pedro Sánchez's government authorized the €475 million bailout of Air Europa in the midst of the pandemic. The measure generated criticism and sparked debates about the use of public funds and transparency.
In November 2020, the Spanish government, led by Pedro Sánchez, authorized a €475 million bailout for Air Europa, a company severely affected by the air traffic shutdown caused by the COVID-19 pandemic. The measure, channeled through the support fund for strategic companies managed by the State Industrial Participation Company (SEPI), was justified as an action to preserve thousands of jobs and guarantee national and international air connectivity.
However, the bailout was not without controversy. Various political parties and media outlets questioned the transparency of the process and demanded explanations about the criteria used to grant the aid. Criticism also arose regarding a potential conflict of interest due to the professional activities of Begoña Gómez, the Prime Minister's wife, who is linked to academia and business.
The government defended the decision as strictly technical, made by SEPI with the endorsement of the Ministries of Finance and Economy. It was also emphasized that Air Europa was a strategic company for the tourism sector, one of the pillars of the Spanish economy.
To this day, the bailout continues to be the subject of public and parliamentary scrutiny. The case has revived the debate about the limits of state support for private companies and the mechanisms for controlling European and public funds in emergency situations.
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