WB green-lights budget support loan of EUR 750 M


The Board of Executive Directors of the World Bank Group (WB) has green-lighted a budget support loan of EUR 750 million to Romania, targeting the reform to strengthen public debt management, increase in quality of public expenditures, improvement in performance of state companies and the functioning of capital, real estate and energy markets. According to a WB release, the bank’s management discussed also a Country Partnership Strategy (CPS) for Romania in the period 2014 to 2017, with the new strategy being the cooperation framework between the bank and Romania’s Government in the next four years.
The support represents the first operation in a series of loans included in the new CPS from 2014 to 2017. The loan has maturity of 18 years and a grace period of 17.5 years.
Minister-Delegate for Budget, Liviu Voinea said in a press conference, quoted by Agerpres, that Romania is now better prepared than in 2008 to absorb regional and global volatilities, and its macroeconomic stability allows reaching the objective of over 3.5 percent economic growth in the medium term.
The continuous effort of fiscal consolidation will place Romania in a good situation for adopting the euro, WB Country Director for Romania and Hungary, Elisabetta Capannelli said in her turn. According to Capannelli, joining the Eurozone can function as an anchor to accelerate reforms.

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