The regional government of Flanders in Belgium has confirmed that it will acquiesce to Volvo’s recent appeal for help.
Volvo Cars CEO Stephen Odell met Kris Peeters, Flemish First Minister, on Monday for talks on how the government could provide requested loan guarantees to the car maker which operates a factory in Gent, The Local reports.
Both parties reported they were happy with the meeting and the Flemish government confirmed its willingness to support Volvo.
“It is important that the factory in Gent has a future. The jobs there are very important,” Peeters told the media.
“Under certain conditions we are prepared to provide guarantees of EUR 200 million to 300 million for the European Investment Bank loans.”
The deal will be finalised at more formal talks at a later date.