Ponta said the money the Government will save by cancelling such programs will be used to co-finance European projects.

Regional Development Minister Eduard Hellvig said recently PNDI projects would be ceased in June and the Development Ministry would initiate home rehabilitation programs.

In April, the former administration decided to resize PNDI by capping at 1 billion lei (EUR226,000 million) the money to be used for already contracted infrastructure projects.

MEDIAFAX announced at that time the program would be terminated because of financial constraints, so the earmarked budget would be reduced by RON15.9 billion to around RON5 billion and used to pay only already contracted projects.

PNDI, running between 2011 and 2020, was managed by the ministries of Development and of the Environment. Through the program, local authorities received funds from the Government for infrastructure projects.

Through PNDI, the government planned to rehabilitate 10,000 km of county and local roads, and build water or sewage networks, as well as kindergartens and daycare centers. (EUR1=RON4.426)