Romania’s PNRR ends with billions spent, but reforms fall short

Romania’s National Recovery and Resilience Plan ended on August 31 with about €13 billion received, far below the nearly €30 billion attached to the program when it was approved in 2021.

After successive renegotiations with the European Commission, the plan’s total value fell to roughly €20.1 billion. That figure includes about €13.57 billion in non-repayable grants and approximately €6.54 billion in loans. Romania’s absorption rate stands at about 64% of the revised allocation.

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Regarding European funds, we negotiated with the Commission and took more than 90% of the funds allocated for projects, but in terms of the amount we received only almost half.

The reduction does not mean that every euro between the original and final plans was lost because of missed milestones. Some investments were removed or shifted to other sources of financing, and Romania also gave up part of the loan component. The country did secure validation for a substantial number of milestones and projects, but analysts point to a gap between validated projects and the money actually received.

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a national plan of failed reforms

“Regarding European funds, we negotiated with the Commission and took more than 90% of the funds allocated for projects, but in terms of the amount we received only almost half,” analyst Adrian Codirlașu told Adevărul. Economist Adrian Negrescu described the result as “a national plan of failed reforms,” arguing that the final balance fell clearly short of the expectations set at the program’s launch.

Negrescu said the grant component had largely been preserved, but that some funds could no longer be accessed. The assessment leaves Romania with a mixed record: substantial milestones were approved and billions were drawn, yet the final program is considerably smaller than the one initially presented and several reforms were not completed.

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The PNRR ends with a mixed balance, but clearly below the expectations announced at the beginning.