Romania: Central SMEs to receive non-repayable funds

The first 16 contracts granting non-repayable structural funds of more than RON 3.2 million to
micro-enterprises located in central Romania were sealed on March 18 at the Regional
Development Agency (ADR) - Center in Alba Iulia.

The 16 firms are headquartered in Alba, Mures and Sibiu, four in Brasov and two in Covasna. Worth more than RON 5.6 million, the 16 projects will receive non-repayable financing exceeding RON 3.2 million. Another 65 projects are being verified, due to be signed and approved for financing by the end of April. "Practically, from now on, based on the approval of pre-financing, European money will be used for strengthening the activity of micro-enterprises that submitted eligible projects," Simion Cretu, general manager of ADR Center said.

As many as 169 projects requiring non-repayable funds under the REGIO program were submitted throughout last year in central Romania, the largest number of such projects reported nationwide. All these projects have been carefully assessed by the experts of ADR Center and independent assessors, resulting in a number of 89 projects selected for financing.

These projects have been submitted for financing on the Domain of Intervention 4.3 - „Supporting the development of micro-enterprises" under the regional Operational Program. This domain targets the development of productive and service-providing micro-enterprises using the endogenous potential of the regions (natural resources, raw materials, human resources etc). The financing of micro-enterprises aims at supporting the continuation of the restructuring and economic rebound of the areas currently in recession, especially the small and medium-sized towns, as they create jobs and have the necessary flexibility to adapt to the requirements of a dynamic market economy.

A non-repayable financing accounting for 70% of the total eligible value of the project can be extended under this domain, which is the only one earmarking nonrepayable funds for the development of the micro-enterprises in the urban area. According to the assessments of the Ministry of Regional Development and Housing, the next call for the submission of applications will be made in April or May this year. The total value of the projects submitted on the domain 4.3 must fall between EUR 20,000 and 500,000, of which the nonrepayable financing will amount to maximum EUR 200,000.

Source: Agerpres.