Romania’s Government approved in its meeting on Monday, April 7, a memorandum empowering the Ministry of Finance to negotiate a loan with the International Bank for Reconstruction and Development (IBRD) “to ensure the liquidity needed during the crisis caused by the coronavirus pandemic,” government sources told G4Media.ro.

The terms of the deal include a maturity of up to 20 years.

The IBRD typically charges preferential interests among the lowest in the market - EURIBOR at 6 months plus a margin of 0.5-1.5%, G4Media.ro said quoting sources familiar with the matter.

A EUR 1 billion loan is envisaged under the memorandum, but the final amount will be decided in the negotiations to follow.

Finance minister Florin Citu, said last week, in an interview with Bloomberg, that Romania is having discussions with all the international financial institutions for contracting unconditional loans.

editor@romania-insider.com

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