Romania risks losing EUR 15 bln RRF funds linked to passing new legislation and completing investments

Romania has to fulfil a number of 45 targets and milestones in order to unlock over EUR 15 billion under the Recovery and Resilience Facility (RRF) scheme, according to a document discussed on May 14 by the interim government of interim prime minister Ilie Bolojan. According to the note drafted by the Ministry of Investments and European Funds, the figure represents the amount at risk and exceeds the EUR 10.7 billion (including the EUR 2.6 billion greenlighted by the European Commission as the fourth payment) still to be disbursed by the end of the scheme, since it includes money to be returned in case some investment projects are not completed.

The note has the role of establishing an action plan for the full absorption of the RRF funds, which therefore seems to depend on the functioning of the government (even under its current interim capacity) and the public administration (EUR 7.3 billion), but also on political support in parliament (EUR 7.8 billion). For the investment projects that need to be completed within the RRF time framework (by the end of August), PM Bolojan pledged to take action and make available the necessary funds so that the contractors are paid and encouraged to keep working.