Finance, Taxes, Insurance
Lilium Faces Political Block to Government Loan Guarantees
Opposition to German federal government funding could block Bavarian state loans
Lilium Jet at a vertiport
Lilium needs further funding to support efforts to bring its Lilium Jet eVTOL model into commercial service in 2026.

Lilium is at risk of missing out on €100 million ($109 million) in loan guarantees from German federal and state governments. Following reports last week in Der Spiegel newspaper that the German parliament’s budget committee has blocked a €50 million loan that would have released a previously agreed upon loan for the same amount from the state of Bavaria, the Munich-based company's CEO, Klaus Roewe, issued a statement addressing what he said were “misunderstandings” about the funding.

According to Der Spiegel’s sources in the Bundestag, budget committee members declined to approve the loan last week, despite it being backed by federal transport minister Volker Wissing. This brings into question whether Bavaria will release the matching funds approved by the state government in September.

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