EBRD ups financing in Romania by EUR 163 million in 2012

The European Bank for Reconstruction and Development's (EBRD) loans for Romania last year valued EUR 612 million, a large rise from the EUR 449 million registered in 2011. Last year's transactions take the EBRD's total participation in Romania between 1991 and 2012 to some EUR 6.11 billion, according to a recent EBRD Annual Report. The EBRD rates the progress of countries towards being free market democracies as transition progress, and terms shortcomings as “transition gaps.” The bank uses these assessments to focus its support in line with need. The South-Eastern Europe region “is particularly vulnerable to fallout from the eurozone crisis and may need significant short-term assistance, especially in the financial sector,” reads the EBRD Annual Report, which also highlights medium and large transition gaps in the Western Balkan region, however, “those in Bulgaria and Romania, both EU members since January 2007, are lower on average but still significant in most sectors.” The EBRD has played a significant role in co-financing infrastructure projects in Romania. Renewable energy projects, along with water supply and sewage systems in particular have attracted funding from the bank. Two of the bank's more recent Romanian investments are a EUR 9.2 million loan to Hidroprahova SA, the water and wastewater operator for the Prahova area, north of Bucharest, and a EUR 50 million deal to finance the operation of two wind farms in Romania. The 24 MW Vutcani wind farm and 33 MW Sarichioi wind farm were developed by renewable energy firm EDP Renováveis and are already operational. editor@romania-insider.com