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Swedish Car Rescue Announced

Published torsdag 11 december 2008 kl 11.05

Sweden’s government has announced a 3.5 billion USD package for the country’s car makers.

Sweden’s Volvo and Saab car companies are both owned by failing US car companies and both could be up for sale soon.


Finance Minister Anders Borg and Trade and Industry Minister Maud Olofsson presented their plans on Thursday.

Most of the billions will go to underwrite loans for the car companies from the European Investment Bank, to fund a transition to green technology.

The development of high-tech high value and green cars in Sweden will also be backed by the creation of a new research institute.

And there will be extra support for those losing their jobs.

Union leaders have welcomed the package, saying that the government is finally listening to them.

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