Monday, May 18, 2009

Romania hit but not down from financial crisis

A relatively new member of the European Union, "Romania is one of the most beautiful, intriguing, and little-known countries in Europe," says the blurb on John Villiers's upcoming book.

International institutions have stepped up lately to help Romania weather the current financial crisis and revamp its ailing economy. The Executive Board of the IMF (International Monetary Fund) approved a 24-month SDR (Special Drawing Right) Stand-By Arrangement for Romania of 11.4 billion (about €12.9 billion, or US$17.1 billion). This aid will be combined with money from the European Union, the World Bank, the European Bank for Reconstruction and Development (EBRD), the European Investment Bank (EIB), and the International Finance Corporation (IFC), for a total international support package of €19.9 billion (about US$26.4 billion) to address Romania's 2009-2010 financing gap.

Lots of wallets, for a sum that pales in comparison to what your typical failing large bank or car company in the States got used to receive...

Foreigners can invest and buy stocks in Romania through a stockbroker, though trading volume on the Bucharest Stock Exchange is small.

1 comment:

  1. excellent blog. Gave me some new insights into Romania.

    Keep up teh good work.