Romania's Government approved on Thursday, June 16, by emergency ordinance, two investment grant schemes aimed at helping the small and medium companies (SMEs) affected by the COVID-19 pandemic. The total budget is EUR 400 million, with the bulk of the financing coming from EU funds.

Under the first scheme, the SMEs in education, healthcare and social assistance and those in the cultural, events and leisure sectors will be able to get grants of EUR 50,000 to EUR 200,000. About 600 beneficiaries are expected to benefit from these funds, with the total budget set at EUR 58.8 mln.

The second scheme addresses companies in the manufacturing sector, construction, retail, transport and hospitality. The grants for these companies are between EUR 50,000 and EUR 500,000, but not more than five times the turnover recorded in 2019. The budget for this scheme is EUR 352.9 mln.

The investment grants scheme has been expected by local SMEs for two years. The measure was first announced by the Liberal Government of Ludovic Orban in June 2020, but it has been postponed and has suffered many changes compared to the initial version.

andrei@romania-insider.com

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