Romania is set to establish the Development Bank of Romania this month, according to an announcement made by Finance Minister Adrian Câciu following a recent debate on financial guarantee solutions.
In January, the European Commission has granted approval for a Romanian measure worth EUR 1.6 billion, facilitating the creation of the Romanian Investment and Development Bank. This fully state-owned entity, supervised by the National Bank of Romania, aims to address market failures, promote economic development, and provide funding opportunities, particularly for small and medium-sized enterprises.
The Development Bank of Romania will play a vital role in addressing market deficiencies and supporting economic growth. It will focus on providing financing solutions to sectors where there is a lack of availability in the market. Small and medium-sized companies, including micro-enterprises and start-ups, will receive particular attention, as they often face challenges in accessing funding. Additionally, the bank will extend support to infrastructure projects aimed at enhancing productivity in the Romanian economy, as such initiatives typically require long-term financing that is hard to secure through conventional means.