Romanias EU funds absorption improves by only 1pps to 6.56% in Q1 2012.

By bne IntelliNews April 6, 2012
Romania's EU funds absorption increased by only 1pps year-to-date in the first quarter of 2012 to 6.65% of the total amount earmarked for 2007-2013, data from the European affairs ministry showed. The government has set a 20pps increase target for the whole year. European affairs minister Leonard Orban, former European commissioner, has promised to improve the absorption rate from slightly above 5% at the end of last year to 25% at the end of 2012 in order to prevent losing a large portion of the EUR 19bn earmarked by the EU for the country under the 2007-2013 budget execution. Romania still expects to absorb EUR 6bn from the EU budget this year, out of which EUR 3.5bn under the structural and cohesion programme, Orban told daily Ziarul Financiar. The target is critical for supporting the country's GDP growth this year. The detailed data released by the European affairs ministry reveal absorption rates of between 3.38% for the operational programme for environment to 11.73% for the regional operational programme at the end of March. The operational programmes for transport and environment with the absorption rates rising by 2.74pps (to 6.1%) and 1.26pps (to 3.4%), respectively, were the best performed areas in the first quarter. Nonetheless, even in these sectors the performance was very weak.

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