State aid of 29.5 billion lei paid in 2023 for the business environment

Romanian companies benefited from state aid paid during 2023 in a total amount of about 29.5 billion lei, about 2% of the annual Gross Domestic Product, a percentage that is part of the European trend, according to a press release of the Government sent to the Editor.

Over 90% of the companies that benefited from these aids are SMEs that received almost 60% of the total amount paid, i.e. approximately 16.5 billion lei. Approximately 80% of state aid is for companies with local capital.

The largest share (36%) last year was state aid paid in the context of the economic crisis generated by the Covid-19 pandemic and as a result of Russia's aggression against Ukraine (through the IMM Invest government programs, the loan program with guarantees of state supported by Eximbank).

The cited source also shows: "Aids for horizontal objectives (e.g. environmental protection, energy, research and development, innovation) represented 26%, and those for the transport sector - 17%. From the total of 29.5 billion lei, amount paid in the form of state aid, according to the information provided by the suppliers, two thirds were granted in the form of grants/subsidies and one third in the form of guarantees".

The government also lists some examples of state aid granted last year: 112.2 million lei for the construction of the multimodal platform in the port of Galaţi, 150 million lei for the financing of the port superstructure in Constanta, Galaţi, Giurgiu, Sulina, Midia, Mangalia, but also in the ports located along the Danube-Black Sea and Porta Albă-Midia canals, Năvodari.

The press release also states that last year the Government approved 220 support measures, totaling a budget of 44.53 billion lei, from European operational programs, PNRR (including RepowerEU) and national funds, and among the priorities for 2024 are find out: the contracts for the difference in the field of renewable energy (measure financed from the PNNR), the restructuring of the TAROM company, the coverage of the damages suffered as a result of the Covid pandemic, the payment of state aid of 99 million euros for the investment worth over 600 million euros of the Nokian company which will build a tire factory in Oradea, and the development of Units 3 and 4 at CNE Cernavodă.