EC might disburse pre-financing under Recovery and Resilience Plan “before summer”

The European Commission (EC) might disburse 13% of the total sums earmarked under the Next Generation plan (NGEU) in the first half of this year. Thus, Romania could get the pre-financing for the National Restructuring and Resilience Plans "before the summer," according to a statement of the Finance Ministry, News.ro reported.

Finance minister Alexandru Nazare had a talk on this topic with EU Commissioner for budget Johannes Hahn.

However, before the disbursement, the member states must ratify the EC's Own Resources Decision (ORD) for 2021-2027, which is the legal basis for the EU budget's revenue sources. Moreover, the new ORD will constitute the legal basis authorizing funds to be borrowed on the financial markets to finance the Next Generation EU Recovery Instrument (NGEU).

Given the unusually high level of the EU budget plus NGEU - , EUR 1.8 trillion, new own resources will be levied.

The Council will adopt the decision on ORD by unanimity after consulting the European Parliament.

Before entering into force together with the new multiannual financial framework (the EU-level budget, MFF), the ORD needs to be ratified by all member states' parliaments.

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