Prima pagină » English » EXCLUSIVE: Romania Mulls Setting Up Natl Invest Fund To Finance Ambitious Projects

EXCLUSIVE: Romania Mulls Setting Up Natl Invest Fund To Finance Ambitious Projects

Romania’s government is considering setting up a national investment fund to finance larges economic projects, fueled by the state’s minority stakes in several companies and by cash contribution from state-run lender CEC Bank, according to an executive bill.
EXCLUSIVE: Romania Mulls Setting Up Natl Invest Fund To Finance Ambitious Projects
20 apr. 2010, 14:08, English

The new institution, called Romanian Investment Fund, is set to take over the state’s minority stakes in strategic companies within two months after setup, the bill, obtained by MEDIAFAX, noted.

According to the document, the fund could also be fueled with cash from previous privatizations.

The fund will not be subject to monitoring and regulation of the national securities commission CNVM.

„The fund will be self-run and its holders will be the Romanian state and CEC Bank. Its main objective is to support the general economic policy of the state by providing required resources to finance projects of national interest,” the document noted.

Romanian authorities plan to sell the state’s minority stakes on the capital market, as well as via open tender and negotiation.

Last week, the Economy Ministry drafted a document showing the government plans to raise over EUR1 billion from selling shares in some of the country’s biggest oil and energy companies, including OMV Petrom (SNP.RO), Transelectrica (TEL.RO) and Transgaz (TGN.RO).

The ministry’s draft stipulated the national investment fund would operate under its supervision and would manage state assets in industry and energy sectors.