EU loosens aid rules to target firms worst hit by Ukraine war  

The Commission's proposals also include assistance to Ukraine to help its farmers.

Sanctions against Russia 'will take a toll on the European economy', European Commission vice president Margrethe Vestager has warned. Picture: AP

EU companies affected by sanctions imposed on Russia can get up to €400,000 in state support as well as compensation up to 30% of energy costs under looser EU state aid rules, the European Commission has said. 

From airlines to carmakers to tourism businesses, thousands of companies across the 27-country bloc have reported severe disruption due to the sanctions.