The Romanian Ministry of Investments and European Projects has published for consultations the draft Emergency Ordinance establishing the general institutional and financial framework for the management of European funds allocated to Romania through the Recovery and Resilience Mechanism (MRR).

The draft defines a series of key elements, such as the main institutions and bodies with responsibilities in coordinating and managing the national Recovery and resilience plan (PNRR).

The study estimates the cumulative impact of the EUR 29 bln of grants and soft loans to Romania’s GDP in 2026, under three alternative scenarios.

Assuming full utilisation of the funds (25% in 2023-2024 and 75% in 2025-2026), under the first scenario, the impact on Romania’s 2026 GDP is estimated at 5.0%.

The biggest contribution is made by the “sustainable transportation” (91.3pp) that is supposed to be earmarked EUR 7.6 bln.

Education (EUR 3.61 bln earmarked) will contribute 0.7pp to the 2026 GDP advance.

Another two scenarios are considered by the Government. Under a second scenario, full utilisation of grants and 33% use of the loans would result in an impact of 4.3% on the country’s 2026 GDP.

If only the grants (EUR 14 bln) are used and no loans, the impact of the Resilience Plan on Romania’s 2026 GDP would be only 3.4%. 

(Photo: Marian Vejcik/ Dreamstime)

iulian@romania-insider.com