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Romania Pledges Cos Under IMF Monitoring Will Cut Arrears By 2.5%

Romania’s Government pledged during negotiations with the International Monetary Fund and the European Commission that each of the ten state-owned companies under monitoring will reduce arrears by 2.5% each quarter, starting with July-September period.
Romania Pledges Cos Under IMF Monitoring Will Cut Arrears By 2.5%
10 mai 2010, 23:59, English

In February, the government agreed with the IMF a calendar to limit the operating loss without subsidies of the ten state-run companies under monitoring, at 1.3 billion lei (EUR1=RON4.1641) by end-March and at RON2.6 billion by end-June.

The targets for the first and the second quarters were included in the supplementary letter of intent to the stand-by agreement with IMF sealed early February.

The ten state-run companies under monitoring are railway company CFR SA, passenger rail company CFR Calatori, rail freight company CFR Marfa, pitcoal mining company CNH, power producer Termoelectrica, national company of motorways and national roads CNADNR, subway company Metrorex, power producer ELCEN Bucuresti, rail electrification company Societatea Comerciala Electrificare CFR and the national administration of land improvement ANIF.

Romania sealed a two-year EUR12.95 billion loan agreement with the IMF, as part of a larger package, worth EUR19.95 billion, that includes funds from the European Commission, the World Bank and other foreign lenders. So far, Romania has attracted EUR11.5 billion loans.