November 18 (SeeNews) - Serbia's state aid commission said it has approved the allocation of 15.5 million euro ($17.6 million) in government financing to German sanitary fittings manufacturer Hansgrohe for the construction of a factory in Valjevo, in western Serbia.
The state aid to Hansgrohe for the construction of a 85 million euro factory in Valjevo is in accordance with the regulations, the commission said in a notice posted on its website.
The government financing will cover 18.24% of the total cost for the construction of the factory and will be delivered in seven annual tranches in the period between 2022 and 2028, the state aid commission said in the notice.
Last month, Hansgrohe said it plans to build a 85 million euro faucet plant in Valjevo. The company will start in late 2023 production at the factory, which will be built on a 130,000 square metre site.
Hansgrohe will open 1,000 jobs at the factory, Serbian President Aleksandar Vucic said in October.
($ = 0.8819 euro)