This is the second tranche of the loan, which is part of a larger EUR20 billion International Monetary Fund-led financial package Romania secured early 2009 to cope with the effects of the recession.
So far, Romania has received EUR10.7 billion in IMF money, EUR3.65 billion from the European Commission and another EUR600 million from the World Bank.
The Romanian government recently announced plans for a follow-up agreement once the existing financing arrangement one expires in the coming months.
The World Bank is prepared to offer Romania technical and financial assistance for its planned follow-up deal, said Peter Harrold, Country Director for Central Europe and the Baltic Countries at the World Bank.
He said Romania’s new agreement with the World Bank would have similar terms to the first one, adding that the third and final installment of the current EUR1 billion loan could be included in the follow-up deal.