RO EU funds, economy ministers say EUR 0.5 bln investment grants “unblocked”

The Romanian ministers of investments and European projects, Cristian Ghinea, and economy, Claudiu Nasui, announced that all the three measures of the EUR 1.5 billion grants program for small and medium-sized enterprises (SMEs) were unblocked after talks with European Commission representatives on January 15, News.ro reported.

In particular, the Romanian Government and the EC have identified resources for EUR 500 million worth of investment grants to be distributed to local SMEs, they said.

Previously, both ministers - representatives of the reformist block USR-PLUS - mentioned that the three measures launched by the senior ruling party - PNL - last year needed further endorsement from the European Commission.

In the week of January 22-26, the Government will get the approval for the measures, the two ministers said in a statement on Monday, January 18.

"The change of the legislative framework during the procedures, the unclear sources of financing, the lack of dialogue between the ministries and with the European Commission affected the stability of these schemes operated by the Romanian state. We have overcome these problems through work and dialogue. Respecting the promises made by the Romanian state to entrepreneurs is a crucial point in creating a relationship of trust between the state and the business environment because predictability plays an essential role in determining the smooth running of any business," said the two ministers.

Last year, the former Liberal Government announced it would distribute EUR 1 bln worth of grants to local SMEs to help them withstand the coronavirus crisis, with most of the money coming from EU funds.

The European Commission approved the scheme. However, at the end of 2020, the Government increased the program's budget to EUR 1.5 bln, to meet the high demand for working capital grants (one of the three measures), which called for another EC approval.

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