Romanian companies reportedly borrowed EUR 3 bln under Govt. backed program

Romanian small and medium-sized companies received loans totaling RON 15 billion (EUR 3 bln) under the Government-backed IMM Invest program, announced Dumitru Nancu, general manager of the body that manages the program - the National Credit Guarantee Fund for Small and Medium Enterprises (FNGCIMM).

Official data from Romania's National Bank (BNR) indicate that the volume of new loans in local currency extended to non-financial companies neared RON 3.5 bln (EUR 0.7 bln) in September, the highest value since July 2019 and twice as much as the RON 1.65 bln new loans extended in April during the lockdown. Lending under IMM Invest probably gained momentum in October.

"At the moment, the data show that there were over 21,000 loans granted, and the total value [of the loans] reached RON 15 billion," the FNGCIMM head said, according to Agerpres.

The program's budget is RON 20 bln. The budgets of three individual banks were supplemented by a total of RON 1 bln "as of today," and the overall budget was exhausted, Nancu said.

FNGCIMM has issued state guarantees this year that represent 23.7% of the total guarantees extended during its previous 18-year of life (2002-2019), he stressed.

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