Cotovelea said the government allocated EUR110 million in state budget funds targeting refund requests for over 1,000 beneficiaries. He also said the money was already transferred to the Labor Ministry to start making payments.

Cotovelea added Romania was ranked second in 2008, after Austria, regarding the finalization of negotiations for all operational programs, and currently is ranked last in terms of absorption of European Union funds.

Over 150 non-governmental organizations sent a letter to Prime Minister Victor Ponta in September, demanding that payments be resumed until September 30. They warned that the lack of financial resources will automatically put an end to any ongoing project, which will further affect 1,650,000 Romanians who benefit from these programs.

European Affairs Minister Leonard Orban has recently said that paying the money from the state budget, via the education and labor ministries, is the only solution for POSDRU beneficiaries facing severe problems over the suspension of payments by the European Commission.

On February 20, Romania’s Ministry of European Affairs received an official notice from the Commission, announcing the interruption of payments for the HR development program. The Commission’s Directorate General for Employment, Social Affairs and Inclusion (DG EMPL) stated problems found by the Romanian Audit Authority are associated with project selection and first-level verification procedures. As a result, the Commission decided to stop sending refunds to Romania for up to six months.