RO lawmakers sweeten restructuring law for corporate debt to budget
The Romanian lawmakers have passed the Government ordinance that sets a mechanism for the restructuring of companies’ overdue debts to the state budget.
They also sweetened the terms of the ordinance by delaying the deadlines, Profit.ro reported.
This is the second extension of the grace periods included in the mechanism after the Government itself took a similar step at the end of May.
Romanian companies with overdue payments to the state budget as of July 31 (compared to March 31 under the Government’s version) will be allowed to restructure their debt, avoid paying interest and penalties, and can even get a bonus of up to 50% of their principal in exchange for cash front payment of up to 15%.
The remaining 50% should be restructured over no more than seven years to get the bonus.
The Government delayed the calendar for the instrument, at the end of May, amid the lockdown.
Earlier this year, companies with debts of under RON 1 mln (EUR 0.2 mln) were also included in the program.
Upon the amendments passed by lawmakers, the deadline for submitting the restructuring application was deferred from December 15 to December 31, 2020.