The European Investment Bank (EIB) has authorised a EUR 150 million loan to Banca Transilvania S.A. in support of projects to be promoted by small and medium-sized enterprises (SMEs), midcap companies and public entities in the sectors of industry, services, agriculture and infrastructure in Romania, said the bank in a statement.

Banca Transilvania is a new partner of the EIB in Romania, through which the “EU bank” will improve the access of SMEs, midcap companies and public entities to affordable investment finance. This cooperation is focused on the revival of the Romanian economy, encouraging Romanian companies to start new investments, consider possibilities of expanding their business activities and create new work places while relying on flexible long-term funding.

The loan is being granted in the framework of the EIB’s “Skills and Jobs – Investing for Youth” programme supporting the employment of young people, a key priority for the EIB.

The youth unemployment rate currently stands at 23% in Romania. The EIB, in cooperation with Banca Transilvania, will therefore provide additional incentives to beneficiary companies employing young people, offering training opportunities or cooperating with colleges, schools or universities to improve the employment prospects of young people.

The EIB supports SME investments in Romania as part of the Joint IFI Action Plan for Growth in Central and South Eastern Europe, whose aim is to provide better access to long-term finance for Europe's SMEs in a difficult economic environment.