The European Commission published a Communication on 8 December 2008, which contains detailed guidance on how Member States can recapitalise banks during the current financial crisis, while at the same time avoiding excessive distortion of competition. The aim is to address concerns that measures taken to support financial institutions during the crisis will be used to support lending to the real economy and will not be utilised by banks to aggressively compete with rivals in the market which operate without Government support.
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