European Commission approves Romania’s EUR 1 bln state aid for Investment and Development Bank

The European Commission approved on Friday, June 26, a state-ensured capital increase of EUR 1 billion and the extension of the state guarantee granted to the Investment and Development Bank until the end of 2032.

The Investment and Development Bank was established in 2022, in addition to the activity of commercial banks, with the aim of promoting economic development and supporting companies and projects that face difficulties in obtaining financing. In January 2023, the European Commission approved the establishment of the BID with an initial capital of EUR 1.6 billion. The new capital increase is partly financed through the Recovery and Resilience Mechanism (RRF), specifically through a EUR 100 million component.