Romania to raise EU funds absorption rate to 20% in 2012.

By bne IntelliNews November 28, 2011
Romania will raise the EU funds absorption rate to 20% in 2012, according to PM Emil Boc, Agerpres reported. The rate may further increase to 25%. The Government aims to receive EU funds amounted to at least EUR 6bn - EUR 2.5bn for agriculture and EUR 3.5bn cohesion funds. We remind that in late October, EC's representative Benoit Nadler commented that the low speed of absorbing funds from the EU budget is dramatic not only because the country risks losing part of the money earmarked [for 2007-2013] but also because this impedes the country's convergence toward the other EU states. Nadler mentioned three causes for the low absorption rate, quoted at 3.5% [of the total 2007-2013 earmarking]: technical aspects of the auctions, the low capacity of the final recipients and the poor functioning of the local fund management institutions. The procedures at the level of the local institution for the management of EU funds can be simplified significantly, Nadler stressed. The local authorities offset their low capacity with an excess of procedures [aimed at dissipating the responsibility], he explained.

Related Articles

Romania to spend EUR 37mn in 2013 to close down loss-making coal mines.

Romania's government has earmarked RON 163mn (EUR 37mn) worth of subsidies for 2013 under a programme aimed at closing down the loss-making mines of local company CNH located in the southwestern ... more

Romanias Hidroelectrica sells nearly 0.3TWh of electricity on free market.

Romanian state-controlled hydropower company Hidroelectrica sold on Thursday, March 21, in several separate contracts a total of 0.3TWh of baseload electricity deliverable between April 1 and the ... more

Romania to start privatisation of cargo railway company on April 6-8.

The Romanian government will publish the privatisation call for freight railway company CFR Marfa immediately after the consultants complete their work, probably on April 6-8, Romanian transport ... more

Notice: Undefined index: subject_id in /var/www/html/application/controllers/IndexController.php on line 335
Dismiss