Romania will borrow EUR 660 million from the European Investment Bank (EIB) to co-finance EU funded projects for environment and economic growth.

The Government approved two master agreements with the EIB. The European financial institution will grant the Romanian state EUR 300 million loans that will be used for co-financing environment projects, such as developing wastewater collection and treatment systems, protecting biodiversity, restoring damaged ecosystems, and adjusting to climate change.

Romania will also be able to borrow EUR 360 million from EIB to co-finance clean energy and energy efficiency projects, including developing the centralized heating systems in cities and making them more efficient and developing the gas transport infrastructure, which could also include the BRUA pipeline that connects Bulgaria and Romania to Hungary and Austria.

Both loans will be available until end-2024 and will be used to co-finance EU-funded projects in the 2014-2020 financial exercise. The Parliament also needs to approve the two master agreements with EIB before Romania can start drawing money.

The EIB has borrowed EUR 1.3 billion to Romania for co-financing EU-funded investments in the 2007-2013 financial exercise.

editor@romania-insider.com