Strategy
Number of Active Projects | 10 |
IBRD | $2.28 Billion |
Through the Country Partnership Framework (CPF) for FY19-23, the World Bank supports Romania’s efforts to accelerate structural reforms and convergence with the EU through robust, sustainable, and equitable growth and enhanced competitiveness.
Engagement over FY19–23 has an overarching goal of strengthening Romania’s institutions and aims at advancing poverty reduction and promoting shared prosperity through three pillars: (i) Equal opportunities for all; (ii) Private sector growth and competitiveness; and (iii) Resilience to shocks.
The Performance and Learning Review provided small adjustments to the CPF to reflect the challenges of the COVID-19 outbreak and also reconfirmed the strategic framework for engagement. A Systematic Country Diagnostic is in preparation to inform the future CPF beyond FY23.
The Bank engages in Romania through the full range of its instruments: investment lending, development policy lending, Advisory Services and Analytics (ASA), Trust fund related work and Reimbursable Advisory Services (RAS).
Key Engagement
IBRD
The Romania program utilizes the full array of Bank instruments and consists of 10 projects (US$2.28 billion) and 52 Advisory Services and Analytics (ASA), out of which 8 are EU-funded trust funds (US$5.66 million), and another 39 tasks correspond to 33 Reimbursable Advisory Services (RAS) agreements in implementation (US$116.49 million), 3 RAS, and 1 EU-funded trust fund are activities under preparation, and 1 Bank-financed ASA.
The RAS program supports: improved strategic planning and budgeting, evidence-based policy making, protection of the vulnerable, disaster risk management, urban regeneration, human development, and strengthened capacity for monitoring and evaluation and an increasing set of activities supporting the capacity strengthening of the Government in implementing the National Resilience and Recovery Plan for reforms (pensions, public wage, social assistance, education, water, central government functions). The technical assistance financed by the European Commission through Trust Funds covers early school leaving, civil service reform, and flood risk management.
International Finance Corporation
As of September 30, 2022, the outstanding portfolio stands at US$1.24 billion, of which 60 percent represents investments in financial institutions, and 40 percent in the real sector. Since the start of operations in Romania in 1991, IFC has invested approximately US$4 billion, including over US$750 million in over 120 projects.
In FY22, IFC’s commitments totaled US$458 million, while the pipeline for FY23 is also strong. In the financial sector, IFC remains strategically engaged to support the development of capital markets and on-lending to SMEs through leasing companies and banks. In the real sector, IFC will continue to explore new investment opportunities in agribusiness and development of supporting value chains, manufacturing, business real estate, to strengthen productivity, regional growth, increase FDI and competitiveness and enhance sustainability practices across sectors.
IFC is strongly committed to help attract additional private investment in infrastructure-related operations. Upon demand, IFC is ready to help strengthen sustainable energy and connectivity infrastructure and will continue to explore new PPP opportunities in the health care system at both municipal and national levels.