IMF asks Romania to drop First Car program

The International Monetary Fund (IMF) delegation has asked the Romanian authorities to drop the First Car program, but Romanian authorities have refused, said sources close to the negotiations, cited by local Agerpres. The IMF representatives also disagreed with the RON 350 million (EUR 79.2 million) ceiling for this program. However, the Romanian authorities will introduce this ceiling in the Government meeting next week, according to the same sources. T he IMF delegation met representatives of all Ministries to discuss whether to conclude a new financial agreement. The Government introduced the First Car program at the end of the last year. Starting November 1, 2014, Romanians were able to take loans of up to RON 50,000 (over EUR 11,000) to buy a new car. The Romanian state guarantees half of the loan value. editor@romania-insider.com