Romania to ask EU for over 6 BN loan

Romania launched negotiations with the European Commission, in order to obtain a loan designed to cover some of its budget deficit and to prevent a financial crisis, given its relaxed fiscal policies and the decrease of economic activities, Reuters informs.

A delegation of the European Union arrived in Bucharest this week, along with a team of International Monetary Fund (IMF) mission.

The EU experts will consider the macroeconomic stability of Romania and the possibility to approve a loan worth between 6 and 7 billion Euros.

Diplomacy sources say that Brussels officials may insist on having the loan integrated in a larger agreement, involving the International Monetary Fund, given the existing concern on the capacity of the newly elected Government to maintain a strict budgetary policy.

The Romanian Government was – so far – rather reticent in accepting a deal with the IMF.