23.2 C
Bucharest
August 6, 2021
ECONOMY FINANCE&BANKING

Romania’s year-to-date loan repayments to EU, WB amounting to 77.1 ml euro

Since the beginning of the year Romania has paid the European Union and the World Bank (WB) 77.1 million euro of the stand-by loan engaged in 2009; the entire amount represents interest rates plus fees, according to data made available by the Ministry of Public Finance (MFP) at the request of Agerpres.

The bulk of the amount, specifically 72.8 million euro, must be reimbursed to the EU, and the rest to the WB.

Overall, Romania has to repay this year 1.26 billion euro to the EU and the WB. Of this figure, capital repayments represent 1.15 billion euro and the rest are interests and fees. Over 1.25 billion euro must be repaid to the EU and just 9 million euro to the WB.

In 2016 Romania paid 113 million euro to the EU and the WB. Repayments to the EU accounted for the bulk of the amount, specifically 104 million euro, while 9.1 million euro went to the WB.

In 2015 Romania repaid over 1.83 billion euro to the International Monetary Fund (IMF), the European Union and the World Bank. 2015 was also the year when the IMF loan was fully repaid. Romania paid back to this international lender over 2.49 billion euro.

Romania paid the EU in 2015 over 1.651 billion euro, of which 1.5 billion euro in capital repayments, while interests and fees represent the rest. Repayments to the WB amounted to 9.5 million euro (interests plus fees). Total reimbursements to the three institutions between 2009 and 2016 were in excess of 4.9 billion euro.

Romania has yet to repay over 4.7 billion euro to the WB and the EU by 2023. The largest amount will go to the EU, namely 3.71 billion euro.

The MFP chart shows that the loan repayment peak was in 2015, at 1.8 billion euro, but there are still three large chunks to pay in 2017, 2018 and 2019. In 2017 Romania has to pay back over 1.2 billion euro, in 2018 – 1.4 billion and in 2019 – 1 billion.

On May 4, 2009 the IMF Executive Board approved Romania’s request for a two-year stand-by arrangement worth 11.4 billion SDRs (approximately 12.9 billion euro or 17.1 billion US dollars) and the release of the first installment worth 4.37 billion SDRs (about 4.9 billion euro or 6.6 billion US dollars).

Romania has been a member of the International Monetary Fund since 1972, currently holding 1030.2 billion SDRs (0.43 pct of the total share).

Related posts

Smart Fintech officially launches SmartPay, the first alternative payment service authorized by the National Bank of Romania

NINE O'CLOCK

OTP Bank launches new versions for the OTPdirekt service and the SmartBank app

NINE O'CLOCK

As part of the Nestlé Needs Youth Initiative, Nestlé Romania organizes the fifth edition of Summer’s Cool and launches YOUth eBusiness Academy

NINE O'CLOCK