Sat. Jun 25th, 2022

Brussels, 24 May 2022

Yesterday, the Commission has signed a contribution agreement with Romania to use the InvestEU Fund as a tool to support the implementation of its Recovery and Resilience Plan. This is the first agreement concluded under the so-called “Member State compartment” of the InvestEU programme, a new facility that allows Member States to make voluntary contributions to the InvestEU Fund to finance additional InvestEU financial operations there. As part of this agreement, Romania will channel part of its Recovery and Resilience Facility (RRF) funds to the Member State compartment of the InvestEU Fund and the InvestEU Advisory Hub.

These resources will unlock more than €700 million in additional financial guarantees earmarked for Romania under InvestEU. Those are in turn expected to mobilise at least €2.5 billion in financing aimed at enhancing the competitiveness of Romanian small and medium-sized enterprises (SMEs) and improving the energy efficiency of buildings. The European Investment Fund and the European Bank for Reconstruction and Development will act as implementing partners and deploy a range of InvestEU financial products to support Romania’s Recovery and Resilience Plan objectives. The agreement signed yesterday underscores the important scope for synergies across EU funds and the role that InvestEU plays to deliver on the RRF objectives.

The InvestEU programme will provide the EU with crucial long-term funding by leveraging substantial private and public funds in support of a sustainable recovery and the EU’s policy priorities, such as the European Green Deal and the digital transition. Through its €26.2 billion EU budget guarantee (the so-called “EU compartment”), the programme is expected to mobilise at least €372 billion in additional investment across the EU. 

 


State aid: Commission approves €300 million Romanian scheme to support agri-food entities in the context of the coronavirus pandemic

The European Commission has approved a €300 million (RON 1.5 billion) Romanian scheme to support agri-food entities in the context of the coronavirus pandemic. The scheme was approved under the State Aid Temporary Framework. 

Under the scheme, the public support will take the form of direct grants up to €120,000 (RON 593,000) per beneficiary. The scheme will be open to small and medium-sized enterprises active in the agricultural, fishery, aquaculture, and food industry sectors. The measure aims at mitigating the liquidity shortages that these companies are facing and at addressing part of the losses they incurred due to the coronavirus pandemic and the restrictive measures that the Romanian authorities had to implement to limit the spread of the virus.

The Commission found that the Romanian scheme is in line with the conditions of the Temporary Framework. In particular, the aid

(i) will not exceed €2.3 million per beneficiary; and

(ii) will be granted no later than 30 June 2022.

The Commission concluded that the measure is necessary, appropriate and proportionate to remedy a serious disturbance in the economy of a Member State, in line with Article 107(3)(b) TFEU and the conditions set out in the Temporary Framework. On this basis, the Commission approved the scheme under EU State aid rules. More information on the Temporary Framework and other actions taken by the Commission to address the economic impact of the coronavirus pandemic can be found here.

The non-confidential version of the decision will be made available under the case number SA.102898 in the State aid register on the Commission’s competition website once any confidentiality issues have been resolved. 

Source – EU Commission