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Disclaimer: This English translation is provided for informational purposes only. In the event of any discrepancy, inconsistency, or difference in interpretation between this translation and the original German version, the original German version shall prevail.
Overall Description
The GRW RIGA programme provides investment grants to commercial enterprises, including tourism businesses, and to eligible non-profit, non-university research institutions. It supports investment projects that establish, expand, modernise or diversify business operations in the Free State of Saxony.
The programme aims to create or safeguard permanent jobs and apprenticeships, strengthen Saxony’s regional economic structure and encourage digitalisation, innovation and the transition toward a climate-neutral and sustainable economy.
Funding Amount
- Funding instrument: Proportionate, non-repayable investment grant.
- General company funding rate: Up to 45% of eligible expenditure, depending on company size, project type, State aid basis and investment location.
- Eligible research infrastructure: Up to 50% of eligible investment costs.
- Maximum grant per project: No general fixed monetary maximum is stated.
- De minimis projects: Maximum of €300,000 per single undertaking over a rolling three-year period.
Indicative regional investment-aid rates
- D assisted areas: Up to 20% for small enterprises and 10% for medium-sized enterprises.
- City of Chemnitz C area: Up to 30% for small enterprises, 20% for medium-sized enterprises and 10% for large enterprises.
- Other designated C areas: Up to 35% for small enterprises, 25% for medium-sized enterprises and 15% for large enterprises.
- A 10-percentage-point bonus may apply to collectively bargained businesses in eligible C assisted border regions, resulting in rates of up to 45%, 35% and 25%, respectively.
Environmental and energy investments
- Investments exceeding environmental standards or improving non-building energy efficiency: up to 50% for small, 40% for medium-sized and 30% for large enterprises.
- Renewable-energy investments for predominant own use: up to 35% for small, 25% for medium-sized and 15% for large enterprises.
The final aid rate is determined individually according to the applicable State aid basis and regional-aid classification.
Submission Deadlines
- Application deadline: No fixed call deadline is stated; applications are accepted on an ongoing basis.
- Applications must be submitted before the investment project begins.
- Funding remains subject to the availability of public budget resources.
Submission Conditions
- The investment must be implemented within the Free State of Saxony.
- The application must be submitted before the project begins.
- Applicants may begin only from the date communicated by SAB in its application receipt confirmation.
- Signing a supply or service contract, beginning construction, ordering equipment or making another irreversible commitment generally constitutes project commencement.
- The investment must normally be completed within 36 months.
- Minimum investment volume:
- €70,000 in Chemnitz, Dresden or Leipzig.
- €50,000 elsewhere in Saxony.
- Total project financing must be secured and confirmed by the bank supporting the project, normally the applicant’s principal bank.
- At least 25% of eligible costs must be financed through the applicant’s own or external resources without public aid.
- The investment must create or safeguard permanent jobs at the supported establishment.
- Supported jobs and funded assets must generally be maintained at the establishment for five years after project completion.
- Applications must be complete. If SAB requests missing documents and the specified deadline is missed, the application will be rejected and cannot be supplemented after rejection.
- Companies must satisfy at least one applicable regional-economic-effect criterion, such as increased investment, employment growth or productivity improvement.
- For SMEs receiving approval by 31 December 2028:
- Employment should generally increase by at least 5%; or
- Annualised investment should exceed average depreciation over the previous three years by at least 25%.
- The corresponding standard thresholds are 10% for employment growth and 50% for the depreciation criterion.
- Alternatively, eligible projects may increase labour productivity by at least 10% while maintaining employment or total gross wages; this provision applies until 31 December 2028.
- Tourism investments are eligible only outside Chemnitz, Dresden and Leipzig. Accommodation businesses must have capacity for at least 15 beds or guests.
- Companies in difficulty and businesses operating in excluded economic sectors are not eligible.
Eligible Types of Businesses and Organisations
- Microenterprises.
- Small enterprises.
- Medium-sized enterprises.
- Large enterprises.
- Commercial enterprises operating in eligible sectors.
- Tourism businesses, subject to specific location and project restrictions.
- Non-profit, non-university, business-oriented research institutions directly relevant to regional economic development.
The supported business establishment must be located, or be planned for establishment, in Saxony.
The following are excluded:
- Companies in difficulty under the EU General Block Exemption Regulation.
- Companies more than 50% owned by banks, insurance companies, the Federal Republic of Germany, the Free State of Saxony or municipalities.
- Businesses operating in sectors excluded under the GRW coordination framework.
- Universities and institutionally funded university research organisations are not eligible under the research-infrastructure component.
Eligible Countries
- Germany, Free State of Saxony
Expected Outcome
Supported investments should:
- Create new permanent jobs or safeguard existing permanent employment in Saxony.
- Create or secure apprenticeship positions where applicable.
- Increase regional investment, productivity, income and economic growth.
- Address structural disadvantages and strengthen the competitiveness of Saxony’s regions.
- Establish new business sites or expand and diversify existing operations.
- Promote digitalisation and industrial innovation.
- Improve energy and resource efficiency and reduce environmentally harmful emissions.
- Accelerate the transition toward a climate-neutral and sustainable economy.
- Expand production capacity for technologies required by the net-zero economy.
- Improve research infrastructure that directly supports regional economic development.
Scope
Eligible investment costs
Funding may cover:
- Acquisition or production costs of fixed assets, including buildings, equipment and machinery.
- Eligible intangible assets, including patents, operating licences and technical knowledge.
- Wage costs for newly recruited employees for a period of two years.
- Eligible environmental-protection, energy-efficiency and renewable-energy investment costs.
Eligible SME projects
- Establishment of a new business site.
- Expansion of an existing site’s capacity.
- Diversification into products not previously manufactured at the site.
- Fundamental transformation of the entire production process.
- Acquisition of the assets of an establishment that has closed or would otherwise have closed.
- Modernisation of the production process under general de minimis aid.
- Investment exceeding EU and national environmental-protection standards.
- Non-building-related measures that improve energy efficiency beyond applicable standards.
- Renewable-energy generation primarily covering the establishment’s own energy needs.
- Eligible investments at existing tourism establishments.
Eligible projects by large enterprises
- Establishment of a new business site.
- Diversification into a new activity that is not the same as, or similar to, the site’s previous activity.
- Acquisition of the assets of an establishment that has closed or would otherwise have closed, subject to the new-activity conditions.
- Capacity expansion under the Clean Industrial Deal State Aid Framework for net-zero technologies.
- Environmental-protection, energy-efficiency and own-use renewable-energy investments.
- Certain investments under general de minimis aid.
Eligible research-infrastructure projects
- Establishment or expansion of research infrastructure at eligible non-profit, non-university, business-oriented research institutions.
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