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MPF: Non-reimbursable financing extended for three years:

The Ministry of Public Finance (MPF) announced in September this year the extension by another 3 years of GD 807/2014, which grants up to 37,5 million euros for start-ups, SMEs and large companies, until 31.12.2023, with the session being open continuously. This means that projects can be submitted at any time and financing agreements will be issued up to 31.12.2023 with the possibility of implementing projects by 31.12.2028.

 

The projects are evaluated very quickly, in about 3 months, but the companies also have the option to start the investment project immediately after they have submitted the project to the Ministry of Finance – the State Aid Department.

 

According to revision 4of the Guide for applicants, drawn up on the basis of Government Decision No. 807/2014 on the establishment of State Aid schemes aimed at stimulating investments with a major impact in the economy, as amended and supplemented, a number of additional State aid support measures for applicants, be they start-ups, SMEs or large/multinational companies, have been published.

 

According to the new document, the most important change was the removal of the notion of “cost standard” limited to 1.650 RON/sqm, so between 10% of the eligible value of the project – Bucharest area (maximum EUR 7,5 million), 35% – Ilfov and West (maximum EUR 26,25 million), Respectively 50% – the rest of the country (EUR 37,5 million) of the actual cost/sqm of the building, which will also allow the financing of hotels, hospitals, and other types of buildings at a higher cost/sqm.

 

The State Aid scheme aims at regional development by making initial investments in high-tech fixed assets for producing high value-added products, irrespective of the size of the beneficiaries.

The value of an investment project must be at least RON 4.5 million. This value was determined by reference to an equivalent value of about 1 million euros (calculated at a rate of 4,5 lei/euro). The maximum budget of the scheme is RON 4,007 million, the equivalent of about 925 million euros.

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