Asked whether Romania’s potential failure to sign a new loan agreement with the IMF would affect foreign investment in the country, the Hyslop said the EBRD remains committed to its operations in the local market.
“The EBRD has always appreciated the stability of this country,” the official said.
Since the beginning of its operations, the EBRD has invested about EUR6 billion in over 315 projects in Romania, mobilizing over EUR11 billion for the projects from other sources of financing.
Romania and the IMF have signed a two-year EUR3.6 billion loan agreement in 2011, successor to a larger EUR13 billion deal secured in 2009.
The IMF board is expected to assess Romania’s performance under the EUR3.6 billion deal at a meeting scheduled for June 26. A positive review could open the way for a new agreement with the international institution, whereas a negative assessment would mean that the country’s loan program will expire de facto.
Romania, which has obtained a three-month extension to its program, must eliminate its government general arrears and privatize CFR Marfa to successfully complete the loan program.