IBRD revises EUR 20 M loan to Romania

The International Bank for Reconstruction and Development (IBRD) has revised the financial terms and conditions of an USD 20 M loan approved for Romania, according to Rompres. 'USD 19,871 M have been spent of the loan and the balance of USD 128,799.52 recorded as savings has been cancelled, according to the IBRD letter dated August 21, 2007.

The calculation of the balance changed the reimbursement and the drawing timetables, without changing Romania's financial dues or conditionalities towards IBRD, according to a communique of the Ministry of Economy. Under the Romania - IBRD loan agreement of January 16, 2002, USD 20 M were allocated for the second phase of the social development fund project. According to the agreement, the deadline for the drawing of the loan was February 28, 2007.

However, under the IBRD procedure governing the payment of already delivered or provided goods and services, draws were also allowed after the deadline. According to the IBRD letter on August 21, 2007, the date of the last transaction of the loan was June 20, 2007.

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