The law on personal insolvency will come into force in Romania at the end of this month, and not on December 31, as the Government had initially decided.

The Chamber of Deputies passed the bill yesterday. The project needs to be sent to president Klaus Iohannis for promulgation.

The law on personal insolvency was adopted by the Parliament in May 2015, and in December last year the Government decided to have the law come into force only one year later, namely in December this year.

According to the project, the Romanians who have problems in repaying their debts will be allowed to declare their personal bankruptcy. They will be able to reschedule their debts over five years, and undergo a liquidation procedure in front of the court.

editor@romania-insider.com