Deputy PM Stanescu signs addendum to SME Initiative in Romania financing agreement

According to the statement, the European Investment Fund (EIF) provides banks with an amount of up to 150 million euros to encourage investment by lending to investors. 

On October 20, 2016, a financing agreement was signed between Romania, MDRAP, as the managing authority for operational programme regional development, and EIF regarding the Romanian SME Initiative, establishing the conditions for Romania's participation in the SME Initiative Uncapped Portfolio Guarantee Instrument and the basis on which the EIF manages Romania's contribution to the Uncapped Portfolio Guarantee Instrument. The commitment period and the implementation period of the agreement expired on December 31, 2017. 

Meanwhile, Regulation (EU, Euratom) 2018/1046 of the European Parliament and of the Council of 18 July 2018 on the financial rules applicable to the general budget of the Union came into force, which offers, among other things, the possibility to use the European Regional Development Fund (ERDF), which provides funds for operational programme regional development managed by MDRAP, to secure the financial contribution to the uncapped guarantees throughout December 31, 2023, according to the MDRAP. 

"Taking into account the successful implementation of the SME Initiative in Romania so far, the managing authority has expressed interest in allocating additional resources of up to 150 million euros under through an addendum. The EIF and the lending banks will agree on the availability period (typically up to 3 years) during which the transactions may be included in the portfolio and ending by December 31, 2023, at the latest."

AGERPRES